Xiaomi instrumental in new Sichuan lender

Chinese smartphone maker Xiaomi Corp is expanding its presence in the finance industry by joining other investors to set up a private bank in southwestern Sichuan province.

The move is Xiaomi's latest push to diversify its business, as the smartphone group wrestles with declining sales and intense competition from rival Huawei Technologies Co Ltd and others.

The Beijing-based company said on Monday its wholly owned subsidiary Sichuan Yinmi Technology Co Ltd and other investors have obtained approval from the China Banking Regulatory Commission to set up Sichuan Hope Bank.