China approved Visa’s Beijing subsidiary to prepare for a domestic bank-card clearing business.
Why it matters: The preliminary approval could expand competition in China’s bank-card market and support Visa’s effort to build a domestic business. It does not authorize Visa to begin operating in China.
- Visa Information Technology (Beijing) Co. Ltd. received the approval from the People’s Bank of China on October 13, 2026.
- The company has one year to complete preparations and must obtain a separate operating license.
- China’s bank-card system processed 4.6 trillion transactions worth 963.60 trillion yuan in 2025, according to PBOC data cited by Reuters.
- American Express received a Chinese bank-card-clearing license in June 2020, while Mastercard received one in November 2023.
The People’s Bank of China approved Visa Information Technology (Beijing) Co. Ltd. on October 13, 2026, to begin formal preparations for a domestic bank-card clearing institution, Visa said.
The decision is preliminary. Visa’s Beijing subsidiary has one year to complete the preparatory work, then must apply to begin operations. The People’s Bank of China and China’s banking regulator will review that application, according to Reuters reporting republished by Investing.com. The Reuters report does not name the banking regulator.
“The approval of our Application to Prepare marks a significant step forward in Visa’s long-standing commitment to China,” CEO Ryan McInerney said. Visa separately said it has been involved in China’s payments landscape for more than 40 years.
China’s domestic card market remains dominated by state-controlled China UnionPay. American Express and Mastercard entered through local arrangements and later received Chinese bank-card-clearing licenses. American Express received a People’s Bank of China license in June 2020, while Mastercard received one in November 2023, according to a U.S. government report.
The market is large, although mobile wallets, QR-code payments and domestic platforms shape consumer payments. China’s bank-card system processed 4.6 trillion payment transactions worth 963.60 trillion yuan in 2025, according to People’s Bank of China data cited by Reuters.
By the numbers
- 4.6 trillion - payment transactions processed by China’s bank-card system in 2025
- 963.60 trillion yuan - value of those bank-card transactions in 2025
- One year - time Visa Information Technology (Beijing) has to complete preparations
Yes, but: The approval does not give Visa permission to operate. The company must complete preparations and obtain a separate operating license.
What's next: Visa Information Technology (Beijing) must complete its preparations within one year and then apply for an operating license.