Despite the fact that the economy of China is slowing down, a glimmer of hope has presented itself with the Bangkok Bank (China) (BBC) supporting the expansion of domestic businesses.

BBC is a subsidiary of Thailand's largest bank. Currently, the bank aims to build its loan portfolio from Chinese corporates to 40 percent of overall lending within the next three years.

Like Us on Facebook

This will help businesses maintain and amplify their activity both in mainland China and overseas, with most targeted in the ASEAN area.

The fact that the economy is sliding downwards has not deterred most of the businesses in China. In fact, some businesses have even become more active than what was initially expected.

This is primarily due to Beijing's "Go Out" policy and the refocus on domestic consumption.

In order to conform to the sustainable growth policy they are trying to embody, China is now focusing on domestic consumption. This has made several local manufacturers expand their productivity in order to serve the increasing local demand.

A Taiwan food production company with operations in China, for example, is planning on expanding their plant with an investment of US $120 million.

BBC aims to support this expansion by shouldering half the cost.

Hand in hand with the "Go Out" policy, BBC will be able to easily identify which businesses have the potential to expand to the ASEAN regions.

The loan portfolio of BBC is currently split equally between Chinese corporations, multinational companies, and Thailand companies.

The recent policies in China have allowed BBC to increase the loan proportion to Chinese corporations to 40 percent in the next three years.

Suwatchai Songwanich, chief executive officer of BBC, indicated that China and Thailand could both benefit from what their bank is doing.

Even though BBC is a small bank, they have left their market in several businesses around the ASEAN region.

After BBC supports the local businesses in China, China will then look to Thailand as the bridge to entering other markets.       

TagsBangkok Bank (China), BBC, 40 percent, loan portfolio, "Go Out" policy