Bank of Singapore, the private banking arm of Singapore's OCBC, plans to start a private banking operation in China by the end of third quarter to serve a region that has one of the world's fastest growing number of millionaires, according to Reuters.

The operation, which will be within OCBC China, is designed to offer wealth products and services largely to entrepreneurs, chief executive Renato de Guzman told journalists at the official opening of the bank's new premises.

"With the renminbi appreciation and with exports slowing down, there is a shift for the high net worths to look into other ways to generate more income, grow their wealth," de Guzman was quoted as saying.

"Before it used to be very focused on 'My factory, I just keep growing my factory because of big margins from exports'," he said.

Bank of Singapore was formed in January last year after Oversea-Chinese Banking Corp completed its acquisition of ING's Asian private bank for $1.4 billion and merged it with its existing private bank.

De Guzman said client assets under management including loans grew by 20 per cent to $32 billion at the end of 2010 from a year ago, and have risen to $36.3 by the end of May at an annualised pace of 30 per cent.

The bank has a staff of 780 people, including 230 relationship managers. The private bank, the news service said, has no plans to build an onshore business in India and South Asian clients will continue to be served by a team of 100 bankers in Singapore, Hong Kong, Dubai and London.