An Industrial and Commercial Bank of China Ltd display at an international financial exposition in Beijing. [Photo/China Daily]

Chinese banks, encouraged by Premier Li Keqiang's "going-out" strategy, are rocketing up the international bond arranging league tables in Asia, leaving investment banking stalwarts in their wake.

Industrial & Commercial Bank of China Ltd, the world's biggest lender by assets, jumped four spots from the end of last year to No 11, its all-time best among arrangers of sales in either dollars, euro or yen, data compiled by Bloomberg show. Bank of China Ltd advanced five places to No 6 in the first six months of the year, as Barclays Plc and UBS Group AG dropped out of the top 10.

Companies in the world's second-biggest economy, faced with growth last year that was the slowest in more than two decades, are looking overseas to expand, and they are taking the nation's banks with them. China Three Gorges Corp, the operator of one of the world's largest hydropower dams, raised $1.5 billion selling bonds in dollars and euros in June, using the proceeds to pay for offshore projects. Four Chinese were among the eight institutions on the debut international offering.

"We're seeing a big pickup in Chinese issuance and the trend is likely to continue," said Jason Ho, the co-head of debt capital markets at ICBC International Holdings Ltd in Hong Kong. "There have also been many mega deals from China so Chinese banks have benefited from that."

Chinese companies announced some $326 billion of acquisitions last year, making the country the world's most acquisitive after the United States. They also comprised six out of the 10 biggest borrowers in Asia ex-Japan last half, up from half the same period a year ago and compared with seven for all of 2014 and four of 10 in 2013, Bloomberg-compiled data show.

It is a trend not confined to the region's bond markets. The participation of Chinese banks in the syndicated loan market is also on the rise. Bank of China advanced to No 19 year-to-date on Bloomberg's global loans mandated lead arranger table, from a ranking of 35 or below in 2011, 2010 and 2009. In Asia, it is placed second, having held that spot for the full year in 2014, improving from seventh in 2013.

When Chinese companies do look to obtain a bank loan or sell bonds offshore, it is the banks they are familiar with they naturally reach out to, said Samson Lee, the head of debt capital markets at Bank of China International Holdings Ltd.

"It's our home market. We understand the issuers and are close to them," Lee said.

China Cinda Asset Management Co hired 17 financial institutions to manage its $3 billion sale in April, nine of which were Chinese. China Huarong Asset Management Co appointed 15 lenders, six Chinese, for its $3.2 billion January offering.

China will have an even more significant share of the dollar bond market in Asia by the end of the year, according to Arthur Lau, Pinebridge Investments Asia Ltd's co-head of emerging markets. Chinese companies account for about 40 percent of JPMorgan Chase & Co's benchmark Asian credit index and will probably increase that a couple of percentage points by December, he said.

Being among one of the banks selected to help take a Chinese issuer to market is lucrative business. Deal sizes often stretch into billions of dollars, meaning fatter arranging fees. China Petroleum & Chemical Corp, or Sinopec, raised $4.8 billion in a three-part transaction in April while China National Offshore Oil Corp netted $3.8 billion in its sale the same month. The two were among the biggest deals in the first six months.

Patrick Liu, the co-head of debt capital markets for Asia at UBS, said: "We are facing increased competition from Chinese banks. They provide a competitive edge by buying some of the bonds in question themselves, helping to ensure a sale is successful."

China Construction Bank Corp ranks No 18 this half, up from 22nd in 2014, while CITIC Securities Co is 20th, rising from 23rd.

Despite their growing dominance, international players still rule the top five league table spots. HSBC Holdings Plc and Citigroup Inc, which this half are No 1 and No 2, have a combined 21.8 percent market share and have ranked among the top three for the past five years. BOC and ICBC have a combined 7.8 percent share this half.

Mark Follett, the Hong Kong-based head of north Asia debt capital markets at JPMorgan, said: "We expect a continued regionalization of Chinese State-owned enterprise supply in the second half." JPMorgan ranks No 5 this half with a 6 percent market share.

Several European banks are shrinking their presence in Asia as they struggle to make money from the region. Barclays dropped four spots to No 14 while Royal Bank of Scotland Group Plc sank 11 places to 29th.