Mega International to partner with Bank of China

Tie-up was spurred by the signing of financial Memorandum of Understanding between Taiwan and Mainland.

Insiders revealed that Mega's partnership with BOC depends on the approval by the Taiwan's Ministry of Finance, the bank's major shareholder, and the Cabinet-level Financial Supervisory Commission (FSC).

If everything goes as planned, Mega may sign an official agreement with BOC after the first negotiation on economic cooperation framework agreement (ECFA) to be held by the authorities in Taiwan and China later this month, as stated in a report in China  Economic News Service.

Mega and BOC will reportedly focus on syndicated loans, renminbi (RBM)-based lending, and setting up a lending platform serving Taiwanese enterprises in China.

Starting in the first half of last year some leading banks in China have contacted Taiwanese counterparts for possible cooperation, including BOC, Industrial and Commercial Bank of China (ICBC), China Construction Bank, Agricultural Bank of China, Bank of Communications, China Merchants Bank, and China Development Bank (CDB).