The Urumqi State High-tech Zone (New District) in the Xinjiang Uygur autonomous region and Habib Bank Ltd (HBL) of Pakistan signed a contract on Thursday for a branch in the zone, which will be the region's first headquarters and branch of a foreign bank.

The Urumqi State High-tech Zone (New District) in Xinjiang Uygur autonomous region and Habib Bank Ltd (HBL) of Pakistan sign a contract for a new branch in the zone, on May 26.[Photo provided to China Daily]

At the signing ceremony, Deputy Mayor of Urumqi Gao Feng delivered a speech, saying that as all-round financial cooperation is essential to economic growth in the context of economic globalization the HBL Urumqi Branch, which is also the bank's first business institution in China, will be of great significance in boosting the "China-Pakistan Economic Corridor" (CPEC) and the economy of Xinjiang -- the core of the "Silk Road Economic Belt'. He promised the city's full support to the bank with favorable conditions and quality services.

Gao noted that becoming an international financial center is a key element of the zones innovative development, and requires restructuring of industries and shifting of growth patterns. The new branch will help the zone achieve that goal by broadening international funding, enhancing cooperation with south Asian countries, and realizing cross-border RMB settlements.

Deputy Mayor of Urumqi Gao Feng delivers a speech at the signing ceremony. [Photo provided to China Daily]

The zone will continue advancing the modern financial services industry in a good investment environment, said Gao.

He expressed his hope that the two countries will enjoy mutual development and long-lasting friendship, and that the bank and the Urumqi zone will make profits together through trust to serve development of the CPEC.

Farhan Talib, head of the HBL's Beijing representative office, responded that the HBL has benefited from President Xi Jinping's visit to Pakistan and China's CPEC system, and said that it will strengthen financial cooperation with Xinjiang, especially in growing Urumqi into an international city and the Urumqi high-tech zone into an international financial center.

In recent years, the Urumqi high-tech zone has adjusted its development priority to favor the financial industry, while keeping up advances in high-tech industries.

Farhan Talib, head of the HBL's Beijing representative office, speaks at the signing ceremony.[Photo provided to China Daily]

In addition to branches of 16 banks including the Industrial and Commercial Bank of China, the Agricultural Bank of China, the Bank of China, and the China Construction Bank, the zone has attracted more than 400 financial institutions handling equity investment, such as the Xinjiang equity trading center (first of its kind in Northwest China), the Xinjiang mineral resources trading center (Xinjiang's only corporate mining service center), Xinjiang Jinlian Reloan Co (Xinjiang's first financial investment firm sponsored by the region’s State-owned Assets Supervision and Administration Commission), and Shenwan Hongyuan Group Co (Xinjiang’s largest listed company in 2015).

HBL, established in 1947, is the largest private bank in Pakistan, with 1,600 branches, 1,700 ATMs, and over 9 million clients in the country. It has set up 67 foreign branches, subsidiaries and affiliates in 28 countries and regions, including major financial centers such as London, New York, Brussels, Singapore, Dubai and Hong Kong. The biggest shareholder of HBL is the Aga Khan Fund for Economic Development in Switzerland (51 percent). By the end of 2014, HBL owned 18.36 billion dollars in assets.

Farhan and Hao Jianmin, head of the zone, signed the contract with Shu Pucheng, member of the zone's standing committee, chairing the ceremony.

Edited by Peter Nordlinger