SHANGHAI (Reuters) – Citigroup said on Friday it had become the first major global custodian allowed to operate an onshore fund custody business in China, tapping into the country’s $19 trillion asset management industry.

Citibank (China) Co Ltd obtained the approval from the China Securities Regulatory Commission (CSRC), Citi said in a statement.

China is accelerating opening up its capital markets despite rising Sino-U.S. tensions.

The Citi announcement came on the same day an Allianz unit got Chinese regulatory approval to become the country’s first wholly foreign-owned insurance asset management company. Earlier this week, China’s financial hub Shanghai unveiled measures to become a global asset management centre by 2025.

“We look forward to servicing global asset managers as they establish onshore China business and to work with domestic asset managers as they grow their businesses onshore and globally,” David Russell, Citi’s APAC Head of Securities Services and Hong Kong Markets Head, said in a statement.

Citi China Chief Executive Christine Lam said the bank will leverage its strengths in cross-border services, and bring best practices to the Chinese market.

Citi has been providing cross-border securities services in China for more than two decades, and plans to expand its investment banking business in the country.

The Wall Street bank plans to set up local securities and futures companies in China, a person with direct knowledge of the matter told Reuters in April.

(Reporting by Samuel Shen and Andrew Galbraith; Editing by Richard Chang)