World Bank's investment arm switches China focus to non-bank finance

0 Comments | AFP, March, 2005

BEIJING (AFP) — The International Finance Corp. -- the World Bank's investment arm -- is switching its China focus from banks to insurance companies and other financial institutions.

After buying stakes in several small Chinese banks, the IFC was now planning to expand further into non-banking financial institutions, according to IFC media and marketing manager Desmond Dodd.

"We are looking to develop models in the financial sector across the board and, as a development bank, that is our role," Dodd said Tuesday.

Apart from insurance, other possible investment targets include securitization and housing finance, he said, explaining how the IFC planned to balance its bank-heavy China portfolio.

The IFC currently has stakes in the Bank of Shanghai,...