December 10, 2007 -- On 3rd of December, 2007 Mizuho Corporate Bank, Ltd. announced that the Tianjin Branch of Mizuho Corporate Bank (China), Ltd., a wholly-owned subsidiary of MHCB, had started operations in yuan.

Mizuho Corporate Bank (China) Ltd. was set up in July 2007. Mizuho has been working to establish a greater presence in China in recent months and currently has 10 offices around the country.

"Opening the office in Tianjin, near Beijing, will allow the bank to offer better services to Japanese companies setting up operations in the area," the wholesale and investment banking unit of Mizuho Financial Group Inc. said in a statement.

"Tianjin is deepening its financial reform in various aspects. The Tianjin branch of Mizuho Corporate Bank, in Binhai, Tianjin, is conducive to introducing advanced management experiences and financial products of foreign financial institutions, activating financial markets and promoting regional economic development", Dai Xiang Long, the mayor of Tianjin said in a statement. "Tianjin Municipal Government will protect the legal interests of foreign-funded banks and support Mizuho Corporate Bank in equal competition and cooperation with other financial institutions, so as to contribute to Binhai's reform and opening-up as well as the establishment of a modern financial service system adaptive to development of the northern economic center."

"As the Chinese financial market slowly open to foreign banks, many foreign banks are making its trial steps to test the development of the market in China," Lydia Lin, Fitch Rating senior analyst of financial institutions told Emerging China, "The majority of their customers remains foreign customers."

"Tianjin, in recent years has been trying to develop the BOHAI Economic Circle. For Mizuho to set up its Tianjin branch and develop the business there is following this government strategy to establish the foundations for future development", said Lin. "Also, starting the RMB business is propitious to capture new customers while maintaining the regular customers, which help to expand the business locally".

"The foreign banks in Tianjin have a big market for foreign customers. These banks usually offer more customized packages and advanced service to foreign operations than local banks," Xiaoqiu Ren, senior relationship manager from China Industrial Bank Corporate banking told Emerging China, "And most of the foreign banks that set up in China are following the expansion of their overseas customers, providing them with transfer and bank loan services."

"And as of now, we do not yet see competition with the local bank as they serve a different market here, though it does provide good example that our local banks could learn from." Said Ren.

Established on April 1, 2002, the Japan-based Mizuho Corporate Bank is the second largest financial institution in Japan, with large enterprises, financial institutions and overseas VIP as its main customers. Mizuho Corporate Bank (China) Ltd. was set up in Shanghai on June 1, 2007, with a total registered capital of four billion Yuan.