Shinhan Bank opens first branch in MexicoShinhan Bank opened its first branch in Mexico on Wednesday as the bank moves to broaden its overseas business beyond Asia.
The bank gained government approval in December to open a branch in Mexico City. Shinhan is the first Korean bank to operate in the country.
In the beginning stage, Shinhan will focus on offering financial services to Korean residents and companies next year and then expand into corporate and retail services for Mexican clients by 2022, the company said in a statement.
The strategy is notable since Korean banks, including Shinhan itself, have largely focused on corporate financing for Korean companies.
“The entry into Mexico will offer a base for a broader regional network encompassing Central and South America, which completes a global network across Asia, Europe and the American continent,” said Wi Sung-ho, CEO of Shinhan Bank.
He pointed to Mexico’s growth potential as the reason for entering the market, where about 800 Korean companies have operations there.
“Mexico serves as one of the most efficient production bases in the Americas and has high potential for growth,” the CEO said.
The move also corresponds with Wi’s business direction aimed at strengthening expansion around the world, a focus also echoed by Cho Yong-byoung, chairman of Shinhan Financial Group, the bank’s holding company.
Shinhan Bank first went abroad to Vietnam, Cambodia and Indonesia. In recent years, the bank has entered new markets including India and Poland.
BY PARK EUN-JEE [firstname.lastname@example.org]