The newly-restructured Bank of China (Hong Kong) Ltd started operation on Wednesday after combining the businesses of the twelve Hong Kong-based banks of the former Bank of China Group (Hong Kong).

The restructuring, started at the end of 2000, was aimed to sharpen the bank's competitive edge by reorganizing its resources, cutting operational costs and enhancing its competitiveness, according to Liu Jinbao, the bank's chief executive.

After restructuring, ten banks under the former BOC Group in Hong Kong were combined to form the Bank of China (Hong Kong) Ltd. The Nanyang Commercial Bank Ltd, Chiyu Banking Group Ltd and the Bank of China Credit Card Ltd will continue operation as three independent subsidiaries.

The new company is set to put more focus on retail and intermediary businesses with main market orientation in Hong Kong, establish good corporate governance and a better customer service system, improve risk control measures and accurate information disclosure, said Liu.

The merged company is Hong Kong's second largest banking group, with a total asset of 820 billion HK dollars (US$105 billion). The company will continue to be one of the note-issuing banks in Hong Kong.

( China Daily 10/03/2001)