China said on Thursday that Visa's recent approval was a direct outcome of President Xi Jinping's state visit to the United States last month. Qiu Wenxing, deputy chief of mission at the Chinese embassy in Washington, linked the permission to establish a bank card clearing institution to the presidential summit.
The People's Bank of China (PBOC) granted Visa administrative approval on Tuesday to prepare a locally registered bank card clearing organisation. The central bank described the approval as a major step in opening China's financial sector. The PBOC said Visa has one year to complete preparations, after which Visa may apply to begin operations.
Visa has established a foreign-invested company, Visa Information Technology (Beijing), to operate in China. Visa plans to operate through a wholly foreign-owned enterprise, unlike competitors that use joint ventures. American Express began domestic bank card clearing operations through a Chinese joint venture in 2020. Mastercard's joint venture received approval in 2023.
Visa initially applied for PBOC approval in July 2017. A central bank official told Chinese media in 2019 that Visa withdrew the application in January 2018. The official said Visa resubmitted revised materials three months later and was awaiting a decision.
Visa CEO Ryan McInerney said on Tuesday that the approval marked a significant step in Visa's long-standing commitment to China. McInerney expressed appreciation for the US and Chinese leaders' role in pursuing a constructive and strategically stable relationship between the world's largest economies. McInerney said Visa had contributed to China's payments market for more than 40 years. McInerney said Visa looked forward to completing the necessary steps under PBOC regulations to begin domestic operations in China.
McInerney attended last month's White House state dinner in honour of Xi. McInerney also joined the CEO delegation that accompanied US President Donald Trump on Trump's state visit to Beijing in May. Visa described China as one of the world's most advanced and dynamic digital payments markets. Visa said an innovative ecosystem and continued financial sector liberalisation supported that market. Visa said the company looked forward to bringing innovation, security and reliability to Chinese consumers and businesses and contributing to China's domestic payments market.
The Chinese embassy said on Thursday that the financial services agreement formed part of the 10-point consensus reached at last month's summit. The embassy listed the launch of the Board of Trade and a two-month extension of the Busan agreement among the other outcomes. The embassy said the two sides reached a consensus on the principle of financial services. The embassy said China welcomes financial institutions from all countries, including the United States, to expand business and establish operations in China. The embassy said China hopes the United States will also provide a fair, transparent and stable environment for Chinese financial institutions.
Visa's China Approval Tied to Trump-Xi Summit, Beijing Says
FLASH AIShare
Summary
China linked Visa’s approval to open a bank card clearing institution to the Trump-Xi summit in May 2026. The People’s Bank of China gave the green light on October 15, 2026, giving Visa a year to prepare. Visa will operate as a fully owned entity, unlike Amex and Mastercard. CEO Ryan McInerney praised the U.S.-China relationship and Visa’s 40-year role in China’s payments sector. The financial deal was part of a 10-point agreement from the summit. On-chain data shows growing interest in altcoins to watch amid regulatory shifts.
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.