The Australia and New Zealand Bank (China) Co Ltd plans to open a sub-branch in the Shanghai free-trade zone.

The zone, in Waigaoqiao, is one of four areas in a pilot project set up by China's State Council in July 2013 as a testing ground for economic reforms.

ANZ China is a wholly-owned subsidiary of Australia and New Zealand Banking Group, a top four Australian bank.

The bank's new sub-branch will offer a range of products and services, in both yuan and foreign currencies, to companies operating in the FTZ, including trade, foreign exchange, commodities, lending and cash management.

"The Shanghai free-trade zone initiative is important for China's financial reform agenda and is expected to further open up the financial services industry to private and foreign capital," said Charles Li, chief executive officer of ANZ China.

He said the pilot project would boost renminbi convertibility and increase the volume of cross-border transactions, as companies in the zone will be able to tap both onshore and offshore markets.

"We look forward to contributing to its success by supporting cross border trade and investment flows, as well as promoting the internationalism of renminbi financial markets," Li said.

ANZ China serves large multinational corporations and top tier State-owned enterprises from China. The bank is hoping to use its FTZ sub -branch to help customers with their international trade finance needs, as well as to import gold.

"We also think this sub-branch will be an important place for China's economic reforms. As the first Australian bank offering a full range of renminbi and foreign currency products and services for individual and corporate customers, ANZ is uniquely positioned to connect our customers across Asia Pacific," Li said.

ANZ Chief Executive Officer Mike Smith is part of a delegation of 600 Australian business chiefs, led by Australian Prime Minister Tony Abbott.

The group is visiting China from April 8 to 11 as part of the nation's Australia Week and is the largest Australian trade mission to visit the country.

ANZ has distinguished itself from its Australian competitors by focusing on connecting Australia with Asia and the Pacific.

China comprises a key part of the bank's plan to earn up to 30 percent of revenue from outside of Australia and New Zealand by 2017.

ANZ is also the only Australasian-originated bank with both local and foreign currency commercial banking capabilities on the Chinese mainland.

In April 2013, Australia and China agreed to a direct currency trading deal and ANZ China was granted a license for direct trading of the Australian dollar and Chinese yuan.

ANZ has been in China since 1986 and was locally incorporated in 2010.

ANZ China has five branches and three sub-branches across five cities - Beijing, Shanghai, Guangzhou, Chongqing and Hangzhou.

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