ICBC's bid to enter the retail banking market here, in competition with the Big Four, comes as Australian banks establish their own footholds in China.
ICBC opened a branch in Perth this month to service mining and investment companies.
But it's setting its sights on attracting overseas students and Chinese-Australians, by applying for a retail banking licence.
The state-owned bank this year opened branches in Europe and bought major stakes in banks in the US and South America.
But analysts believe it would take time for ICBC to become a dominant player here.
"They are not interested to have 100, 200 branches all over Australia, all they want to focus is the niche market that in the sense of a Chinese bank is one of the ways to follow their customers, the big Chinese corporation to do business in Australia," says RBS Morgan's Raymond Chan.
And the analysts have no problem with ICBC being a state-owned bank.
"Ever since there's a global financial crisis, people start to look at the strength of various governments in the world and obviously with the international reserve of more than 3.2-trillion dollars, the most credible govt is China at the moment," Mr Chan said.
Mr Waller says that the bank is answerable to its board, customers and the Australian regulatory environment, as well as the Chinese government.
ICBC opened its first commercial branch in Sydney in 2008 - and says it has written nearly $15bn of business since then.
The head of ICBC revealed to a business function this month that one-third of its corporate clients are Australian, including Qantas and Westfield.
It also provided capital for Victoria's desalination plant, the Royal Adelaide Hospital and coal loaders in NSW and Queensland.
At the same time, Australian banks are opening branches in China, after receiving regulatory approval.
Finance expert, Simon Wu, says it will take time to develop cultural understanding of the different banking systems.
"Also the recognition of the brand-name of the Chinese customer to say ANZ or the Commonwealth Bank would take a long time to build the brand, same as ICBC coming to Australia," he said.
ICBC Australia declined to be interviewed, ahead of receiving its retail licence.
But a spokesperson says that it hopes to receive approval next year.
Share
