World financial service giant Barclays Capital Group will establish a branch in east China's industrial and commercial hub Shanghai, President Robert E. Diamond said in Shanghai Thursday.

During his meeting with Shanghai Mayor Han Zheng, Diamond said Shanghai is heading toward an economic and financial center in east Asia and added that Barclays Capital has already noticed its potential and believes Shanghai will become a world financial center.

He said the establishment of the Shanghai branch will be marked as a milestone to turn a new page for their development in China's market.

Han said that the Shanghai municipal government has, since the 1990s, made great efforts to build the metropolis as an international finance center.

Along with the economic growth, an open Shanghai will provide more commercial opportunities to foreign investors, the mayor said.

Diamond said the Shanghai branch will provide all the services of Barclays Capital to clients, expressing confidence in turning it into a world leading financial services agency.

Headquartered in London, Barclays Capital has founded branches or offices in more than 60 countries.

(Xinhua News Agency November 4, 2005)