China Construction Bank (CCB) announced in Beijing Thursday its Hong Kong branch will start to offer private banking service as of next Saturday.

The move will be a "new milestone" in CCB's pursuit of overseas business expansion, the bank said in a statement. Bank of China remains the bellwether in individual financial services of any mainland bank branch in Hong Kong.

But CCB said it will give full play to its advantage in renminbi business and cut costs and raise efficiency through various channels,, including the setting-up of outlets and ATMs, phone banking and online banking in a bid to increase its market share.

Hong Kong banks have reported fast-growing renminbi-denominated business since China gave the green light for them to accept renminbi deposits.

CCB Hong Kong branch's private banking service will be primarily focussed on local high-end clients, Hong Kong businessmen with business ties and investment in China's mainland and senior employees of Hong Kong firms that have been cooperating closely with CCB Hong Kong branch.

CCB said its private banking outlets will be located at downtown areas and tourist attractions in Hong Kong. The bank now offers wholesale and investment bank services in Hong Kong.

(Xinhua News Agency September 16, 2005)