The announcement, made by Bank Negara Malaysia (BNM) in a brief statement today, comes as Prime Minister Najib Razak is in China on an official trip.

BNM explained that the grant of the commercial licence to CCB Malaysia – the first under the Financial Services Act 2013 – was based on China Construction Bank Corporation Ltd’s “prudential strength and ability to bring in propositions that are in the best interest of Malaysia.”

CCB Malaysia’s predominant focus in infrastructure project financing, BNM said, will add value towards Malaysia’s transformation into a high income nation.

“The presence of CCB Malaysia is expected to further strengthen the economic and financial linkages between the People’s Republic of China and Malaysia, and contribute towards the development of an effective and dynamic financial sector in Malaysia.”

The central bank’s announcement also comes after Najib, who is the finance minister, hailed China as a “true friend and strategic partner”.

Last week the Dewan Rakyat approved Malaysia’s membership into the China-led international financial institution, Asian Infrastructure Investment Bank (AIIB).

China Construction Bank Corporation Ltd is a bank founded in 1954.

In 2015 it ranked fifth among listed banks in the world.