China Post draws $16m investment plan to establish payment platform

China Post to establish an electronic payment platform for mobile phone and Internet payment services.

China Post, the official postal service of China, is reportedly considering investing approximately CNY100m ($16.11m) to establish an electronic payment platform for mobile phone and Internet payment services.

China Post’s Chongqing operation and management department has already submitted an application to the People’s Bank of China, which is considered to be the first step in the organization’s nationwide service roll-out, as reported by chinatechnews.com.

Citing the application form, the publication reported that China Post’s electronic payment service company will have registered capital of CNY100m ($16.11m).

Of the total investments, China Post Group will invest CNY82m ($13.21m), accounting for 82%, while China Post Chongqing company and China Post Shaanxi company, each will invest CNY9m ($1.45m), accounting for 9% for each firm.

The proposed payment company will maintain its headquarters in Chongqing.

China Post’s electronic payment service company will separately develop the related payment business system, and will be completely responsible for the daily operation, maintenance, and upgrade of the system.