BEIJING— American Express Co. AXP -1.65% cleared a hurdle in its yearslong effort to operate in China, potentially becoming the first U.S. card network to receive permission to offer services in the Chinese market.
China’s central bank informed the New York-based card issuer that it will “formally accept” its application to clear and settle domestic bank-card transactions, an Amex spokesman said. The firm has applied to do so by forming a joint venture with a Chinese mobile-payment provider, Lianlian Group, said the spokesman, Fritz Quinn. People close to the central bank confirmed officials have given “verbal acceptance” to AmEx’s application.