HSBC picks up pace in China expansion

Europe's largest lender, HSBC Holdings Plc<5> plans to add 3,000 more people to its pay slip and open at least 27 branches in China this year, as it consolidates its lead among foreign banks in the world's No. 4 economy.

The projected staff increase, representing a year-on-year rise of 67%, beats a former target of hiring 2,000 to 2,500 staff this year in China, according to Peter Wong, HSBC Executive Director.

The bank's pioneering banking business in China's rural areas which started only in the middle of 2007 is expected to see a good return in 3 to 4 years, Wang said.

HSBC, which holds nearly one fifth stakes in China's Bank of Communications<601328><3328>, the nation's fifth largest lender, reaped a handsome pretax-profit of more than US$1 billion in China last year. Besides, it is also the biggest single shareholder in China's second largest insurer, Ping An Insurance<601318><2318>.