30th Oct 2016 09:53
LONDON (Alliance News) - Emerging markets-focused bank Standard Chartered PLC is in talks to create an aviation financing joint venture in China, the Financial Times reported.
A person with knowledge of the plans told the FT Standard Chartered will partner either with a state or provincial entity in order to get a foothold in the Chinese aircraft lending market. The source said Standard Chartered's role in the venture would be to "asset manage the portfolio", rather than providing financing.
Boeing Co, the US aircraft making giant, has forecast China's aviation industry will spend USD1.00 trillion on planes in the next two decades.
Standard Chartered existing, Dublin-based aviation finance arm is a major player in the global industry but foreign banks have struggled to break into the Chinese market, in part as domestic banks in the country have plenty of money to lend to local aviation firms.
https://www.ft.com/content/6800056e-9d08-11e6-8324-be63473ce146
By Sam Unsted; [email protected]; @SamUAtAlliance
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