Credit card giant American Express Co. become the first US card network to win direct access to the Chinese bank card market. The company has won approval to clear card payments in that country, which is expected to be the world's biggest card market by 2020.
Other companies such as Visa and MasterCard have applied for licenses as well but are still waiting to see if approvals will be granted. The preliminary approval for AmEx allows it to process and settle payment in the domestic currency and has set up a network with Chinese joint venture partner LianLian Group. The approval is a "significant step toward opening up China's bank card market to foreign investors", said China's Central Bank, in a statement.