JPMORGAN Chase & Co, the largest bank in the US, has completed a 2.5 billion yuan (US$392.9 million) capital injection into its Chinese subsidiary to fuel expansion in the world's second biggest economy.

According to the statement released by the New York-based lender this morning, the capital injection brings the total registered capital of its China unit to 6.5 billion yuan.

"The capital will be used to expand the bank's branch network, develop products, increase corporate lending, and recruit employees," said Shao Zili, chairman and CEO of JPMorgan China.

Meanwhile, the unit has received approval from the China Banking Regulatory Commission to open a new branch in Suzhou, Jiangsu Province. The lender's existing network covers Beijing, Shanghai, Tianjin, Guangzhou, Chengdu and Harbin.

"These two initiatives mark a significant milestone in the strategic development of our operation in China. Our Chinese incorporation since 2007 has been a critical platform linking all of the bank's wholesale businesses," Shao said.

Several foreign banks shored up capital recently to speed up expansion and meet rising demand for financial services in the country.

ANZ Bank, the third largest bank in Australia, said this month it plans to add 2 billion yuan to its Chinese unit.

DBS Bank, the largest lender in Southeast Asia, said last month it will invest 2.3 billion yuan in its operation in China.

Source:shanghaidaily