China Development Bank (CDB), one of China's main policy banks, launched its securities unit CDB Securities on Wednesday with registered capital of 2.37 billion yuan (US$350 million).

CDB recently received approval from the China Securities Regulatory Commission (CSRC) to acquire Stockfly Securities, a small brokerage firm, which was previously owned by state-owned aircraft manufacturer, China Aviation Industry, for 1.15 billion yuan.

CDB was the first policy lender to receive approval from the State Council, China's Cabinet, to set up a subsidiary to engage in trading securities.

(Xinhua News Agency August 26, 2010)