Standard Chartered is said to be in advanced stages of negotiations with a Chinese aviation financing firm.

The collaboration will help the Chinese aviation sector in boosting its capacity for decades. It is claimed that the bank is looking for partnerships to gain a foothold in burgeoning aviation market in China.

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Standard Chartered is set to reveal its quarterly results on Tuesday.

To expand its business, the bank is seeking such opportunities in China as well as in Africa.

Standard Chartered has a strong stake in global aviation industry through its aviation finance unit. It is based out of Dublin, Ireland. It currently has over 100 aircraft units, which are leased to 25 airlines throughout the globe.

It is likely that Standard Chartered will structure its role in the Chinese joint venture to offer asset management services for the planes leased to the airline companies, instead of offering financing.

The Chinese aviation sector is growing fast and it is expected to overtake the US for commercial aircraft demand by 2030.

However, Standard Chartered is not the only company looking for opportunities in the Chinese aviation markets. The country has strong domestic financing firms, such as HNA Group, which recently collaborated with CIT Group for creating the third largest aircraft rental fleet in the world. The company agreed to pay $10 billion for this purpose.

Two Chinese companies are among the 10 largest airlines in the world. The government is also looking to promote private investment in various areas, including civil airport construction and operations. 

TagsStandard Chartered, CIT Group, HNA Group