China Construction Bank Corp. received a license to operate a branch in New York, where it could compete with a minority investor, Bank of America Corp.

The New York State Banking Department cleared the way Wednesday for the $1.1 trillion-asset China Construction to open its first U.S. branch. The Federal Reserve Board approved the application in December.

The branch will conduct wholesale business, including commercial deposits, loans, trade financing, and foreign exchange.

China Construction did not immediately return a call for comment.

B of A has held a minority stake in China Construction since 2005. Last month the $1.9 trillion-asset Charlotte company reduced its stake to 16.6% by unloading roughly 2.5% of the shares for $2 billion.

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