Global card payments network Visa Inc is reported to be looking to participate in yuan-denominated business in China.
According to China Daily, new rules that will help foreign players enter the domestic market are expected to be announced at the end of July. Foreign credit card companies are required by law to collaborate with Chinese partners to back their card services and process point of sale transactions.
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Country manager of Visa Information Systems (Shanghai) Co Ltd Jeff Liao said: "We’re waiting to see what identity Visa can have, what business we can do, and to what extent we can progress to get access to the domestic market."
Liao was reported to have stated that there may be an opportunity for Visa to launch its first single-branded card in China and that Visa is considering the option of purchasing a local company; however, Visa has yet to apply to the central bank for a Renminbi license.
A spokesperson at Visa Inc said until the new rules have been announced on 31st July no decisions can be made. With regards to purchasing local companies and launching a Visa card in China, these are only aspirations at the moment.
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