SHANGHAI, Aug. 28 – Australia’s largest investment bank, Macquarie Group, has entered into a trust company joint venture in China to offer yuan-dominated products, arrange domestic debt and equity financing, according to Xinhua.

The joint venture (JV) called the Sino-Australian International Trust Co. will have an initial capital of RMB300 million thus giving Macquerie an opportunity to become a major player in China’s emerging financial markets.

Macquarie will own the maximum allowable shares of 19.99 percent with the state-owned Beijing Sanjili Energy holding 60 percent and Beijing Rongda Investment with 20.01 percent.

“This joint venture will allow us to extend our client service capability as we build a domestic distribution network and to arrange financing for international clients operating in China and locally based corporates,” Andrew Low, head of Macquarie Capital Asia, said in a statement.

The JV will be headquartered in Shanghai and is said to have already obtained the necessary regulatory and government approvals. It will first concentrate on helping companies and local government agencies obtain financing as well as providing RMB investment products to affluent individuals and institutional investors.

China’s huge local currency savings remains a largely untapped market for financial services. Last year, household savings amounted to RMB20 trillion or roughly 72.5 percent of the country’s gross domestic product.

Macquarie together with China Everbright are also looking to set-up two funds worth US$1.5 billion for investing in China’s infrastructure projects. The company has been working in China since 1995.