China’s Largest Bank Joins Diamond Financing in Antwerp
July 05, 11According to the MoU, ‘ICBC will provide various and flexible financing services to AWDC members.’
The announcement is important news for the diamond industry, which is constantly seeking additional financing. In this context, the Dutch ABN AMRO, the leading diamond industry financer, is currently considering opening a branch in Israel to serve the Israeli diamond sector.
The bank said it had been looking into alternative investments for its 240 million private and corporate clients and has now found such an investment in the AWDC.
In addition, the agreement will strongly support the Antwerp diamond trade's expansion into China’s diamond industry, the AWDC said Tuesday morning.
To promote these relations, on October 24 AWDC will embark on a 10-day road show through China to introduce jewelers to Antwerp’s diamond trade. The meeting will take place in five different cities, with the support of ICBC and the Chinese government.
ICBC's Chairman Jiang Jianqing said, “Diamonds are a special investment product and have a distinct function other investment products cannot match. The demand for diamonds to celebrate marriages in itself is substantial, not to mention the high demand from the wealthy investor class.”
According to Ari Epstein, CEO of AWDC, “It is the first time that a Chinese bank fully commits itself and has decided to finance the diamond trade via Antwerp.”
The Industrial and Commercial Bank of China is the largest bank in the world with a market capitalization of $269 billion. It had total assets of $1.82 trillion at the end of 2009, ICBC said on its web site.