https://www.scmp.com/rss/65251/feed Agricultural Bank of China is one of the big four state-owned commercial banks in the People's Republic of China. The other three are Industrial and Commercial Bank of China, China Construction Bank and Bank of China. The Agricultural Bank of China was founded in 1951 and is based in Beijing. en https://assets.i-scmp.com/static/img/icons/scmp-meta-1200x630.png https://www.scmp.com Yulu Ao Yulu Ao China’s six largest state-owned banks are set to distribute more than 420 billion yuan (US$61 billion) in dividends for 2025, extending record-high payouts and strengthening their appeal as a source of stable income as investors rotate into defensive assets amid low interest rates. Combined payouts from Industrial and Commercial Bank of China (ICBC), China Construction Bank (CCB), Agricultural Bank of China, Bank of China, Bank of Communications and Postal Savings Bank of China were expected to... https://www.scmp.com/business/china-business/article/3349184/icbc-and-ccb-lead-chinas-six-biggest-banks-us61b-dividend-payout?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3349184/icbc-and-ccb-lead-chinas-six-biggest-banks-us61b-dividend-payout?utm_source=rss_feed Tue, 07 Apr 2026 02:30:08 +0000 Phoebe Zhang Phoebe Zhang Jiang Chaoliang, Communist Party chief of Hubei when Covid-19 first hit the province and a former prominent banker, has been charged with accepting “an especially huge amount” of bribes starting in the 1990s. The investigation into his case, first announced in February last year, has closed, and the Nanjing Municipal People’s Procuratorate has filed a public prosecution with the Nanjing Intermediate People’s Court, according to a statement on Tuesday from the Supreme People’s... https://www.scmp.com/news/china/politics/article/3346885/former-banker-and-hubei-party-boss-indicted-accepting-especially-huge-bribes?utm_source=rss_feed https://www.scmp.com/news/china/politics/article/3346885/former-banker-and-hubei-party-boss-indicted-accepting-especially-huge-bribes?utm_source=rss_feed Tue, 17 Mar 2026 09:15:35 +0000 Jevans Nyabiage Jevans Nyabiage As conflict in the Middle East pushes oil beyond US$100 per barrel, Angola and other African producers are in line to be among the main beneficiaries. On Thursday, following renewed tanker attacks, Brent crude oil prices surged back past US$100 a barrel, having reached a peak of US$119.50 on Monday, the highest level since 2022. The closure of the Strait of Hormuz, a key maritime chokepoint through which about 20 million barrels of oil and petroleum products flowed daily, has crippled energy... https://www.scmp.com/news/china/diplomacy/article/3346457/how-middle-east-conflict-and-soaring-oil-prices-will-affect-angolas-chinese-debt-deals?utm_source=rss_feed https://www.scmp.com/news/china/diplomacy/article/3346457/how-middle-east-conflict-and-soaring-oil-prices-will-affect-angolas-chinese-debt-deals?utm_source=rss_feed Fri, 13 Mar 2026 06:00:14 +0000 Luna Sun Luna Sun A senior executive at one of China’s major policy banks has been placed under investigation, becoming the latest target in a sweeping official anti-corruption drive across the financial sector. Xu Yiding, vice-president of the Agricultural Development Bank of China (ADBC) and member of its Communist Party committee, is suspected of “serious violations of party discipline and the law”, according to the Central Commission for Discipline Inspection and the National Supervisory Commission. The two... https://www.scmp.com/economy/china-economy/article/3342816/farmers-son-banker-xu-yiding-under-investigation-chinas-anti-corruption-watchdog?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3342816/farmers-son-banker-xu-yiding-under-investigation-chinas-anti-corruption-watchdog?utm_source=rss_feed Sun, 08 Feb 2026 15:00:14 +0000 Themis Qi Themis Qi Banks do not usually build space assets, but in China, lenders are increasingly leasing satellites, funding rocket firms and even launching spacecraft of their own. While banks elsewhere typically use satellite imagery as a purchased “alternative data” feed – for everything from monitoring crops and supply chains to assessing climate and credit risks – Chinese lenders are going further by putting satellites into orbit under their own names. China Merchants Bank (CMB) launched a satellite on... https://www.scmp.com/business/banking-finance/article/3340771/chinese-banks-join-space-race-satellite-launches-and-rocket-backing?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3340771/chinese-banks-join-space-race-satellite-launches-and-rocket-backing?utm_source=rss_feed Thu, 22 Jan 2026 03:30:23 +0000 Xinlu Liang,Yuanyue Dang Xinlu Liang,Yuanyue Dang China’s anti-corruption watchdog has detailed how disgraced former banker and Communist Party chief of Hubei province Jiang Chaoliang received bribes for favours, ultimately landing himself and his brothers under investigation. The revelations came in an episode of a CCTV documentary series that aired on Tuesday night during the fifth plenary session of the Central Commission for Discipline Inspection (CCDI). Held at the beginning of each year, the session aims to sum up the achievements of... https://www.scmp.com/news/china/politics/article/3339899/chinas-anti-corruption-watchdog-reveals-how-former-banker-fell-bribery-scandal?utm_source=rss_feed https://www.scmp.com/news/china/politics/article/3339899/chinas-anti-corruption-watchdog-reveals-how-former-banker-fell-bribery-scandal?utm_source=rss_feed Wed, 14 Jan 2026 11:08:22 +0000 Alice Li Alice Li China may take additional steps to advance the yuan’s internationalisation and ease cross-border flows on the back of rising investment demand, according to a prominent economist. “Chinese companies are showing strong momentum in expanding their overseas investments, so I believe the Chinese government will take more enabling measures [to support transactions],” said Xiang Songzuo, former chief economist at the Agricultural Bank of China. He added that the internationalisation of the yuan is... https://www.scmp.com/economy/china-economy/article/3332348/why-chinas-growing-global-investments-could-spur-yuan-internationalisation-push?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3332348/why-chinas-growing-global-investments-could-spur-yuan-internationalisation-push?utm_source=rss_feed Tue, 11 Nov 2025 12:30:15 +0000 Enoch Yiu Enoch Yiu Chinese technology giant Tencent Holdings plans to raise 9 billion yuan (US$1.27 billion) through a yuan-denominated dim sum bond – its first bond sale in four years – in a move brokers say is aimed at boosting its artificial intelligence ambitions. The dim sum bond, offered in three tranches with 5-, 10-, and 30-year tenures, will be launched on September 23, according to a stock exchange filing on Wednesday. Dim sum bonds are bonds that are denominated in yuan and issued outside the... https://www.scmp.com/business/article/3325808/tencent-raise-us127-billion-first-dim-sum-bond-offering-it-joins-ai-race?utm_source=rss_feed https://www.scmp.com/business/article/3325808/tencent-raise-us127-billion-first-dim-sum-bond-offering-it-joins-ai-race?utm_source=rss_feed Wed, 17 Sep 2025 04:29:29 +0000 Cao Li Cao Li China’s top banks face continued pressure, as a slowing economy, lower interest rates and weak loan demand weighed on first-half earnings. Net profit at Industrial and Commercial Bank of China (ICBC), the world’s largest bank by assets, fell 1.4 per cent in the first half from a year earlier to 168.1 billion yuan (US$23.5 billion), according to its interim results announced on Friday after the market closed. Its net interest margin (NIM), a key indicator of a bank’s profitability, fell to 1.3... https://www.scmp.com/business/china-business/article/3323686/profitability-pressure-grows-chinas-state-banks-amid-low-rates-poor-loan-demand?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3323686/profitability-pressure-grows-chinas-state-banks-amid-low-rates-poor-loan-demand?utm_source=rss_feed Fri, 29 Aug 2025 11:23:28 +0000 Alice Li Alice Li China’s central bank confirmed on Friday that it had established a new financial stability committee to defuse the nation’s mounting debt risks, as a senior government adviser suggested that Beijing needed to inject 1 trillion yuan (US$139 billion) into the property sector to stabilise developers’ balance sheets. The suggestion by Yin Zhongli, a counsellor for China’s State Council, comes as Beijing continues to wrestle with a four-year property crisis sparked by developer Evergrande Group’s... https://www.scmp.com/economy/china-economy/article/3320691/new-committee-bailout-talk-china-launching-fresh-property-rescue-effort?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3320691/new-committee-bailout-talk-china-launching-fresh-property-rescue-effort?utm_source=rss_feed Mon, 04 Aug 2025 13:00:07 +0000 Sammi Chan Sammi Chan The first autonomous AI robot football match to be held in China kicked off on June 28 in Beijing. A Tsinghua University team beat a team from China Agricultural University 5-3. https://www.scmp.com/news/china/article/3316358/chinas-first-3-3-autonomous-ai-robot-football-match-kicks?utm_source=rss_feed https://www.scmp.com/news/china/article/3316358/chinas-first-3-3-autonomous-ai-robot-football-match-kicks?utm_source=rss_feed Mon, 30 Jun 2025 09:30:08 +0000 Enoch Yiu Enoch Yiu China’s financial authorities have granted Hong Kong residents a new daily remittance quota for the yuan, as a cross-border electronic transactions service prepares to kick off, linking 315 million users between the city and the mainland. Starting from noon on Sunday, the 17 million registered users of Hong Kong’s Faster Payment System (FPS) will be able to remit up to HK$10,000 (US$1,282) per day for each bank account to 298 million users on the mainland’s Internet Banking Payment System (IBPS)... https://www.scmp.com/business/article/3315267/china-grants-hong-kong-new-yuan-quota-payment-connect-kicks-315-million-users?utm_source=rss_feed https://www.scmp.com/business/article/3315267/china-grants-hong-kong-new-yuan-quota-payment-connect-kicks-315-million-users?utm_source=rss_feed Fri, 20 Jun 2025 10:59:20 +0000 Luna Sun Luna Sun Even a master’s degree from a top Hong Kong university and a string of impressive internships have not been enough to help Jethro Chen land a decent graduate job. The final-year marketing student sent out dozens of applications to Chinese internet and consumer goods companies last year, but got nothing back except a folder full of polite rejection emails. With his attempts to land a marketing internship in Hong Kong also ending in failure, Chen has been forced to push back his graduation from... https://www.scmp.com/economy/china-economy/article/3312261/china-already-had-graduate-jobs-crisis-trade-war-making-it-worse?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3312261/china-already-had-graduate-jobs-crisis-trade-war-making-it-worse?utm_source=rss_feed Thu, 29 May 2025 22:00:13 +0000 Alice Yan Alice Yan A bank in China is under scrutiny following the death of a gravely ill elderly woman outside one of its branches, where she was instructed to withdraw money in person. The incident occurred on May 14 at the Agricultural Bank of China branch in Zhuzhou, Hunan province. The sick customer was brought by her daughter and son-in-law to withdraw 50,000 yuan (US$7,000) to cover her medical expenses. The 62-year-old woman, known as Peng, had been suffering from diabetes for years. Recently, she had been... https://www.scmp.com/news/people-culture/trending-china/article/3311111/public-outrage-china-woman-dies-outside-bank-after-instructed-make-person-withdrawal?utm_source=rss_feed https://www.scmp.com/news/people-culture/trending-china/article/3311111/public-outrage-china-woman-dies-outside-bank-after-instructed-make-person-withdrawal?utm_source=rss_feed Tue, 27 May 2025 01:15:08 +0000 Bloomberg Bloomberg Chinese banks have begun raising consumer loan interest rates just about two weeks after cutting them to record lows, underscoring the challenges of lowering funding costs amid sustained pressure on margins. Lenders including China Merchants Bank and Bank of Jiangsu, which previously engaged in a price war by offering consumer loan rates as low as 2.58 per cent annually, have now adjusted their rates to no less than 3 per cent, according to online advertisements. Major banks such as Industrial... https://www.scmp.com/business/banking-finance/article/3304592/chinese-banks-increase-consumer-loan-rates-record-low-amid-pressure-margins?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3304592/chinese-banks-increase-consumer-loan-rates-record-low-amid-pressure-margins?utm_source=rss_feed Mon, 31 Mar 2025 09:36:52 +0000 Cao Li Cao Li Chinese banks are reporting higher profits and smaller bad debts, helped by the central bank’s flexibility on how lenders provide a cushion for their non-performing loans (NPLs), as well as a capital replenishment plan from the government. All six of China’s state-owned commercial banks posted moderate growth in net profit last year, while their NPL ratios – a key indicator of asset quality and credit risk – declined slightly. Net interest margins (NIMs), which represent the difference between... https://www.scmp.com/business/banking-finance/article/3304329/chinese-state-banks-2024-profits-rise-and-bad-loans-dwindle-even-margins-narrow?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3304329/chinese-state-banks-2024-profits-rise-and-bad-loans-dwindle-even-margins-narrow?utm_source=rss_feed Fri, 28 Mar 2025 10:30:43 +0000 Ben Jiang Ben Jiang The founder of Beijing-based artificial intelligence (AI)-based image recognition firm DeepGlint has stepped down as general manager, as the company grapples with widening losses this year amid fresh competition from generative AI firms. Zhao Yong is stepping back from day-to-day operations but retains his role as chairman, according to a corporate filing from the Shanghai-listed company. The 45-year-old entrepreneur holds a 17.55 per cent stake in the company. Before founding DeepGlint in 2013,... https://www.scmp.com/tech/big-tech/article/3288352/founder-chinese-ai-firm-deepglint-early-mover-steps-back-amid-rising-losses?utm_source=rss_feed https://www.scmp.com/tech/big-tech/article/3288352/founder-chinese-ai-firm-deepglint-early-mover-steps-back-amid-rising-losses?utm_source=rss_feed Wed, 27 Nov 2024 09:00:09 +0000 Bloomberg,Yuke Xie Bloomberg,Yuke Xie China is considering injecting up to 1 trillion yuan (US$142 billion) of capital into its biggest state banks to increase their capacity to support the struggling economy, according to people familiar with the matter. China’s six largest state-owned lenders – the Industrial and Commercial Bank of China, China Construction Bank, Agricultural Bank of China, Bank of China, Bank of Communications, and Postal Savings Bank of China – could each receive an injection of 100 billion yuan, a source... https://www.scmp.com/business/china-business/article/3280008/china-weighs-injecting-us142-billion-capital-top-banks?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3280008/china-weighs-injecting-us142-billion-capital-top-banks?utm_source=rss_feed Thu, 26 Sep 2024 04:25:16 +0000 Yuke Xie Yuke Xie China’s banks may end up as unintended collateral damage amid the government’s slew of economic stimulus policies announced this week, as they may have to contend with squeezed margins and deteriorating mortgage quality, analysts said. Banks’ net interest margins may be eroded by a fifth of a percentage point, or 20 basis points, according to an estimate by S&P Global Ratings. Return on assets could drop by 14 basis points, requiring the average deposit rate to fall by a quarter point to... https://www.scmp.com/business/banking-finance/article/3279937/banks-may-become-collateral-damage-chinas-big-bang-squeezes-margins-degrades-assets?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3279937/banks-may-become-collateral-damage-chinas-big-bang-squeezes-margins-degrades-assets?utm_source=rss_feed Wed, 25 Sep 2024 10:52:46 +0000 Yuke Xie Yuke Xie Beijing’s encouragement for large commercial lenders to increase investments in unlisted companies is a significant move in the broader effort to support the country’s struggling start-ups, analysts said, though they wondered whether the big banks were ready to participate. Chinese authorities are now allowing the financial asset-investment arms of major commercial banks to increase their allocations to private companies, Li Yunze, director of the National Administration of Financial Regulation... https://www.scmp.com/business/banking-finance/article/3279859/beijing-encourages-investment-struggling-start-ups-are-big-banks-ready?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3279859/beijing-encourages-investment-struggling-start-ups-are-big-banks-ready?utm_source=rss_feed Wed, 25 Sep 2024 06:00:12 +0000 Yuke Xie Yuke Xie China’s largest state-owned banks are expected to struggle with thinner margins later this year and into 2025, according to analysts, after these lenders this week reported profit declines amid Beijing’s call to extend a lifeline to the troubled property sector and support the economy. The Industrial and Commercial Bank of China, the world’s biggest bank by assets, on Friday reported a net profit of 170.5 billion yuan (US$24 billion) for the six months ended June 30, down 1.8 per cent compared... https://www.scmp.com/business/banking-finance/article/3276672/chinas-state-owned-banks-face-thinner-margins-amid-beijings-call-support-economy?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3276672/chinas-state-owned-banks-face-thinner-margins-amid-beijings-call-support-economy?utm_source=rss_feed Sun, 01 Sep 2024 05:00:09 +0000 Zhang Shidong Zhang Shidong Chinese banks are defying the downturn on the broader market this year, with the share in the biggest state-owned commercial lenders rising to multi-year highs as dividend payouts yield more than government bonds and optimism builds that net-interest margins are stabilising. The 42 mainland-listed banks have gained 19 per cent on average since the start of 2024, according to financial data provider Shanghai DZH. That trounces a 4.2 per cent decline in the benchmark CSI 300 Index in the... https://www.scmp.com/business/china-business/article/3276230/chinese-banks-buoyant-amid-market-tumult-stock-investors-hunt-dividend-yields?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3276230/chinese-banks-buoyant-amid-market-tumult-stock-investors-hunt-dividend-yields?utm_source=rss_feed Wed, 28 Aug 2024 08:00:17 +0000 China should promote its indigenous cross-border interbank system to reduce risks to its financial security, a senior researcher for a state-owned bank has said, as the drawbacks of a US-centred global monetary system have become too prominent to ignore. The deterioration of China-US relations and repeated threats from Washington to kick Chinese commercial banks out of the global financial system means it is difficult for the country’s financial security to stay unaffected, said Yuan Benxiang,... https://www.scmp.com/economy/china-economy/article/3274621/chinas-interbank-system-promoted-safeguard-against-swift-consequences?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3274621/chinas-interbank-system-promoted-safeguard-against-swift-consequences?utm_source=rss_feed Thu, 15 Aug 2024 12:30:18 +0000 Yuke Xie Yuke Xie Saudi Arabia’s sovereign Public Investment Fund (PIF) and six of China’s top financial institutions have signed investment agreements totalling US$50 billion in a move that significantly strengthens financial and business ties between the two countries. The amount represents 1.5 times China’s total foreign direct investment inflow in 2023. The agreements are with Agricultural Bank of China (ABC), Bank of China (BOC), China Construction Bank (CCB), China Export and Credit Insurance Corporation... https://www.scmp.com/business/banking-finance/article/3273010/saudi-arabia-wealth-fund-signs-us50b-agreements-6-top-chinese-institutions?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3273010/saudi-arabia-wealth-fund-signs-us50b-agreements-6-top-chinese-institutions?utm_source=rss_feed Fri, 02 Aug 2024 12:07:22 +0000 Two of China’s largest banks unveiled plans to sell total loss-absorbing capacity (TLAC) bonds this week, as Chinese lenders draw up plans to sell these newly introduced securities to strengthen their balance sheets and meet the central bank’s solvency regulations. State-owned lender the Industrial and Commercial Bank of China (ICBC), the world’s largest bank by assets, said it will raise 30 billion yuan (US$4.2 billion) and Bank of China (BOC), another government-owned bank, said it will borrow... https://www.scmp.com/business/banking-finance/article/3262492/chinas-banks-seen-launching-us60-billion-loss-absorbing-bonds-align-pbocs-guidelines?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3262492/chinas-banks-seen-launching-us60-billion-loss-absorbing-bonds-align-pbocs-guidelines?utm_source=rss_feed Mon, 13 May 2024 08:58:23 +0000 Industrial and Commercial Bank of China (ICBC), the nation’s largest lender, reported its first decline in quarterly profit in more than a year as margins continue to contract. Net income fell 2.78 per cent to 87.7 billion yuan (US$12.1 billion) in the first quarter, the bank said in an exchange filing on Monday. Its net interest margin narrowed to 1.48 per cent from 1.61 per cent at the end of 2023. Chinese lenders are in the midst of a prolonged squeeze that has narrowed margins to record... https://www.scmp.com/business/banking-finance/article/3260852/chinas-icbc-agricultural-bank-post-profit-drops-margin-squeeze?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3260852/chinas-icbc-agricultural-bank-post-profit-drops-margin-squeeze?utm_source=rss_feed Tue, 30 Apr 2024 01:40:55 +0000 Fitch Ratings has lowered its outlook for China’s state-owned banks from stable to negative a week after it cut its projection for the country’s sovereign credit rating, reflecting pessimism in the world’s second largest economy and concerns over Beijing’s capacity to support its biggest lenders. The downgrade in the ratings outlook of China’s “big six” state-owned banks, including the Industrial and Commercial Bank of China (ICBC), China Construction Bank (CCB), and Bank of China (BOC),... https://www.scmp.com/business/article/3259217/fitch-cuts-outlook-chinas-state-owned-banks-stable-negative-citing-beijings-limited-capacity-support?utm_source=rss_feed https://www.scmp.com/business/article/3259217/fitch-cuts-outlook-chinas-state-owned-banks-stable-negative-citing-beijings-limited-capacity-support?utm_source=rss_feed Tue, 16 Apr 2024 11:00:37 +0000 In China’s era of breakneck growth, there were few better jobs to have than one in finance. During those heady days – when the pursuit of money was exalted above all else – bankers’ swanky offices and hefty salaries made them the envy of the masses, a hot commodity in the marriage market and role models for the millions graduating from universities each year. But the boom times seem to be over. For the ones who have remained, the lavish lifestyles they once enjoyed have been replaced with stress... https://www.scmp.com/economy/china-economy/article/3257250/chinas-new-rules-finance-pull-brakes-gravy-train-bringing-greed-good-era-halt?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3257250/chinas-new-rules-finance-pull-brakes-gravy-train-bringing-greed-good-era-halt?utm_source=rss_feed Fri, 29 Mar 2024 22:00:23 +0000 The Agricultural Bank of China (ABC), China Construction Bank (CCB), Bank of China (BOC) and Postal Savings Bank of China (PSBC) – four of China’s largest state-owned lenders – posted steady earnings growth for 2023 even as their margins faced persistent downwards pressure amid government calls to slash rates and inject liquidity into the country’s slumping property sector. ABC, China’s third-largest bank by assets, saw its net profit jump 4.2 per cent to 269.8 billion yuan (US$37.3 billion), it... https://www.scmp.com/business/banking-finance/article/3257140/agricultural-bank-china-china-construction-bank-boc-and-postal-savings-bank-china-post-earnings?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3257140/agricultural-bank-china-china-construction-bank-boc-and-postal-savings-bank-china-post-earnings?utm_source=rss_feed Thu, 28 Mar 2024 14:39:07 +0000 Leading Chinese banks have injected billions of yuan into housing projects with the aim of financing the completion of pre-sold but yet-to-be-completed homes across the country, according to figures released by the lenders. The initiative, which falls under the so-called whitelist mechanism, is part of Beijing’s efforts to revive a weakening property sector that accounts for a quarter of China’s gross domestic product. China Construction Bank (CCB), one of the largest state-owned commercial... https://www.scmp.com/business/china-business/article/3251852/ccb-boc-and-china-everbright-among-chinese-lenders-have-injected-billions-whitelist-housing-projects?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3251852/ccb-boc-and-china-everbright-among-chinese-lenders-have-injected-billions-whitelist-housing-projects?utm_source=rss_feed Tue, 13 Feb 2024 11:30:24 +0000 Bank of China said it plans to sell up to 150 billion yuan (US$21 billion) of loss-absorbing bonds, becoming the nation’s first big state bank to plug a major funding shortfall before a 2025 deadline to meet global capital requirements. The lender said it plans to tap both domestic and overseas debt markets to sell a new category of total loss-absorbing capacity (TLAC) bonds, according to a Friday filing with the Shanghai Stock Exchange. China’s banking regulator in 2022 allowed the nation’s... https://www.scmp.com/business/banking-finance/article/3250128/bank-china-plans-us21-billion-bond-sales-comply-global-capital-requirements?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3250128/bank-china-plans-us21-billion-bond-sales-comply-global-capital-requirements?utm_source=rss_feed Mon, 29 Jan 2024 06:23:33 +0000 China’s largest state-owned banks are lowering their deposit rates for the third time in 2023, in their latest effort to ease the pressure on their net interest margins (NIM) and to improve profitability. The NIM is the amount of money that a bank earns in interest on loans relative to the amount it pays on deposits. It is an important gauge of a bank’s profitability. The Industrial and Commercial Bank of China, China Construction Bank, Agriculture Bank of China, Bank of China and Bank of... https://www.scmp.com/business/banking-finance/article/3246051/chinas-biggest-banks-lower-deposit-rates-third-time-2023-eye-improving-profitability?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3246051/chinas-biggest-banks-lower-deposit-rates-third-time-2023-eye-improving-profitability?utm_source=rss_feed Fri, 22 Dec 2023 11:30:14 +0000 China’s banks have seen an influx of bad assets in their once-thriving property-loan business, and more could be reported amid the restructuring of Evergrande and other struggling developers. The outstanding property-related non-performing loans (NPLs) of China’s top banks saw an annual increase in value of 37 per cent to 291 billion yuan (US$40 billion) from July 2022 to the end of June this year, according to the Post’s calculations of their midyear financial reports. Two-thirds of the banks... https://www.scmp.com/economy/china-economy/article/3236152/chinas-property-woes-deepened-evergrande-test-beijings-bottom-line-no-systemic-risks?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3236152/chinas-property-woes-deepened-evergrande-test-beijings-bottom-line-no-systemic-risks?utm_source=rss_feed Thu, 28 Sep 2023 15:00:19 +0000 China’s biggest state-owned banks, mired in bad property loans, now face further downward pressure on profit as they prepare to respond to Beijing’s call to cut mortgage rates and revive the country’s faltering property market. Industrial and Commercial Bank of China (ICBC) and Agricultural Bank of China (ABC) cut their deposit rates by between five and 25 basis points, according to their websites. China Construction Bank (CCB), the world’s third-largest bank by assets, said on Thursday that it... https://www.scmp.com/business/banking-finance/article/3233026/chinas-state-banks-face-profit-squeeze-they-comply-beijings-call-mortgage-rate-cuts-aid-property?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3233026/chinas-state-banks-face-profit-squeeze-they-comply-beijings-call-mortgage-rate-cuts-aid-property?utm_source=rss_feed Fri, 01 Sep 2023 02:00:44 +0000 One of China’s biggest banks has issued a warning about slimmer net interest margins even as it reported a higher-than-expected interim profit, as the world’s second-largest economy grapples with slowing growth and a property crisis. Agricultural Bank of China (ABC), the country’s third-largest commercial lender with total assets worth 38.03 trillion yuan (US$5.22 trillion), on Tuesday posted a 3.9 per cent year-on-year gain in net profit to 133.83 billion yuan in the six months ending on June... https://www.scmp.com/business/banking-finance/article/3232725/agricultural-bank-china-issues-profitability-warning-even-it-posts-higher-expected-interim-gain?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3232725/agricultural-bank-china-issues-profitability-warning-even-it-posts-higher-expected-interim-gain?utm_source=rss_feed Tue, 29 Aug 2023 12:00:22 +0000 Less than a month after being named party chief of China’s central bank, Pan Gongsheng has further solidified his oversight of the monetary authority by being elevated to bank governor – placing him in a critical role to address financial risks and growth momentum in the world’s second-largest economy. The 60-year-old replaces Yi Gang, 65, who held the post since 2018. Pan has become a key member in President Xi Jinping’s third term as leadership eyes a steady post-pandemic recovery with low... https://www.scmp.com/economy/china-economy/article/3228880/china-names-new-central-bank-governor-twice-decade-finance-conference-approaches?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3228880/china-names-new-central-bank-governor-twice-decade-finance-conference-approaches?utm_source=rss_feed Tue, 25 Jul 2023 11:07:13 +0000 A newspaper owned by the Chinese Communist Party has pushed back against a report by Goldman Sachs that prompted a sell-off of some of the nation’s major state-backed banks. “Pessimism” towards China’s banking industry should not be encouraged and is largely a “misinterpretation”, according to a front-page editorial published on Friday by the Securities Times, a newspaper run by the state-owned People’s Daily. Chinese lenders have cut their exposure to the embattled property market this year,... https://www.scmp.com/business/china-business/article/3226903/communist-party-mouthpiece-takes-issue-goldman-sachs-report-calling-sell-some-major-chinese-bank?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3226903/communist-party-mouthpiece-takes-issue-goldman-sachs-report-calling-sell-some-major-chinese-bank?utm_source=rss_feed Fri, 07 Jul 2023 08:28:46 +0000 Investors have been snapping up Chinese banking stocks at a pace not seen since the 2015 market bubble in the hopes that lenders’ profit growth will accelerate and government-led drives to boost valuations and improve efficiency at state-owned enterprises (SOEs) will underpin sentiment. A 10 per cent jump in the Shanghai-listed shares of Bank of China (BOC) on Monday was the first time that the country’s fourth-largest lender hit the exchange-imposed daily limit since July 7, 2015. China Citic... https://www.scmp.com/business/china-business/article/3219953/chinese-banks-surge-pace-not-seen-2015-traders-chase-perennial-laggards-valuation-soe-bets?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3219953/chinese-banks-surge-pace-not-seen-2015-traders-chase-perennial-laggards-valuation-soe-bets?utm_source=rss_feed Tue, 09 May 2023 23:00:19 +0000 China’s megabanks are planning at least 40 billion yuan (US$5.8 billion) of bond sales, kicking off a major funding push to comply with global capital requirements by early 2025. Industrial and Commercial Bank of China (ICBC) and its three closest rivals are planning to tap domestic debt markets to sell a new category of total loss-absorbing capacity (TLAC) bonds as soon as June, according to people familiar with the matter. The exact amounts have not been finalised but each bank is targeting at... https://www.scmp.com/business/banking-finance/article/3217002/chinas-top-banks-plan-us58-billion-bond-sales-plug-capital-shortfall?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3217002/chinas-top-banks-plan-us58-billion-bond-sales-plug-capital-shortfall?utm_source=rss_feed Fri, 14 Apr 2023 02:10:35 +0000 The former chairman of one of China’s biggest state banks is under investigation following his dismissal earlier this year, the nation’s top anti-corruption bodies announced on Friday. Liu Liange, who was removed as the Bank of China’s Communist Party chief in February without further explanation, is the most senior banker to become implicated in a crackdown on the financial sector that started in 2021. Graft-busters give rare details about case in Chinese digital hub The 62-year-old is... https://www.scmp.com/news/china/politics/article/3215624/former-bank-china-chief-liu-lange-facing-corruption-investigation?utm_source=rss_feed https://www.scmp.com/news/china/politics/article/3215624/former-bank-china-chief-liu-lange-facing-corruption-investigation?utm_source=rss_feed Fri, 31 Mar 2023 14:08:43 +0000 Chinese banks and authorities are ramping up aid to ease private developers’ liquidity woes following the official release of Beijing’s rescue plan for the sector. Stocks of Chinese developers jumped on the news as banks rushed to provide credit lines to several struggling home builders. A Bank of China representative said the bank is expected to offer support to more developers, without providing details, after the lender on Wednesday signed an agreement with China Vanke, the nation’s... https://www.scmp.com/business/banking-finance/article/3200816/chinese-banks-pledge-billions-credit-support-help-struggling-developers-after-beijing-confirms?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3200816/chinese-banks-pledge-billions-credit-support-help-struggling-developers-after-beijing-confirms?utm_source=rss_feed Thu, 24 Nov 2022 05:41:19 +0000 China’s slowing economy and its stringent zero-Covid policy will prove challenging for banks to prevent loan quality from worsening in the second half, said senior executives of Industrial and Commercial Bank of China (ICBC). While the non-performing loan (NPL) ratio for ICBC has remained largely stable over the past 12 months, the impact of China’s strict zero-Covid measures will weigh on corporate borrowers from different sectors, said Wang Jingwu, senior executive vice-president and chief... https://www.scmp.com/business/banking-finance/article/3190743/icbc-sees-tough-challenges-curbing-bad-loans-chinas-strict?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3190743/icbc-sees-tough-challenges-curbing-bad-loans-chinas-strict?utm_source=rss_feed Tue, 30 Aug 2022 22:15:24 +0000 Agricultural Bank of China, the nation’s third-largest bank by assets, posted a 5.4 per cent profit gain in the first half of this year, even as it faces headwinds from narrowing margins and the troubled real estate sector. Net income rose to 128.9 billion yuan (US$18.6 billion) in the six months ended June 30, from 122.3 billion yuan a year earlier, the Beijing-based bank said in an exchange filing on Monday. The bank’s non-performing loan ratio fell to 1.41 per cent from 1.43 per cent from the... https://www.scmp.com/business/article/3190568/agricultural-banks-first-half-profit-rises-54-cent-chinas-third-largest?utm_source=rss_feed https://www.scmp.com/business/article/3190568/agricultural-banks-first-half-profit-rises-54-cent-chinas-third-largest?utm_source=rss_feed Mon, 29 Aug 2022 09:24:28 +0000 Chinese authorities are facing an uphill battle convincing companies and households to boost borrowing as long as Covid-19 outbreaks and lockdowns continue to crush confidence. After loan growth weakened in April to the worst level in almost five years, several indicators suggest the data for May won’t be much better. Housing sales have continued to slump, indicating a lack of appetite for mortgages and subdued credit demand among real estate firms. Struggling to find enough clients, banks have... https://www.scmp.com/business/china-business/article/3179795/lockdown-economic-impact-cash-runneth-over-chinese-banks?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3179795/lockdown-economic-impact-cash-runneth-over-chinese-banks?utm_source=rss_feed Tue, 31 May 2022 03:00:07 +0000 Chinese banks are set to deliver year-on-year earnings growth of 5 to 10 per cent when they report first-quarter earnings on Friday, due to a record level of loans and supportive measures by the central bank that minimised the impact of the country’s slowing economy. The state-owned banks set to report earnings Friday include Bank of China, China Construction Bank, the Industrial and Commercial Bank of China, Bank of Communications, Agricultural Bank of China, and Postal Savings Bank of... https://www.scmp.com/business/banking-finance/article/3175655/chinese-banks-set-report-profit-growth-first-quarter-due?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3175655/chinese-banks-set-report-profit-growth-first-quarter-due?utm_source=rss_feed Wed, 27 Apr 2022 06:19:32 +0000 Dividend payments by onshore Chinese companies have risen over 150 per cent in the past decade, as investors value steady returns amid market volatility while firms use it to counter drop in share prices, according to an S&P Global Market Intelligence study released on Thursday. The total dividend payout amount by companies in the CSI 300, which tracks the biggest stocks in Shenzhen and Shanghai, is set to exceed 1 trillion yuan (US$157.2 billion) for financial year 2021 for the first time, up... https://www.scmp.com/business/banking-finance/article/3173460/chinese-firms-csi-300-index-pay-record-us1572-billion?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3173460/chinese-firms-csi-300-index-pay-record-us1572-billion?utm_source=rss_feed Thu, 07 Apr 2022 11:04:17 +0000 China’s biggest state-controlled lenders are likely to report stronger earnings for last year on the back of a surging economy that accelerated loan growth and lower bad-loan provisions. Bank of Communications releases its full-year earnings later today. Peers Bank of China and China Construction Bank report on Tuesday, followed by Industrial and Commercial Bank of China, Agricultural Bank of China and Postal Savings Bank of China on Wednesday. The big six Chinese banks are likely to post a... https://www.scmp.com/business/banking-finance/article/3171794/chinas-big-six-bank-earnings-reflect-recovery-covid?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3171794/chinas-big-six-bank-earnings-reflect-recovery-covid?utm_source=rss_feed Fri, 25 Mar 2022 04:10:48 +0000 Chinese banks reported a strong set of third-quarter operating results, evading a distress among mainland property developers as the industry hit a rough patch. More tests await in the coming months as debt crunch persists, putting loan quality at risk, analysts said. Bank of Communications and Postal Savings Bank of China recorded more than 20 per cent jump in earnings, beating analysts’ estimates. Almost all of them showed lower sequential bad loan ratios, based on report cards from this... https://www.scmp.com/business/companies/article/3154338/chinese-bank-earnings-spared-property-distress-evergrande-and?utm_source=rss_feed https://www.scmp.com/business/companies/article/3154338/chinese-bank-earnings-spared-property-distress-evergrande-and?utm_source=rss_feed Sun, 31 Oct 2021 07:27:03 +0000 HSBC, Standard Chartered, Bank of China (Hong Kong) – the city’s three note-issuing banks – are among the 19 Hong Kong lenders that received the greenlight to sell investment products under the Wealth Management Connect scheme in the Greater Bay Area from Tuesday. The Hong Kong Monetary Authority on Monday said 16 banks can sell products in Hong Kong and the mainland, while three banks can only sell products to mainland residents via the southbound route. The launch of the cross-border Wealth... https://www.scmp.com/business/banking-finance/article/3152781/hsbc-standard-chartered-bank-china-hk-among-19-lenders?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3152781/hsbc-standard-chartered-bank-china-hk-among-19-lenders?utm_source=rss_feed Mon, 18 Oct 2021 12:45:45 +0000 Ping An Insurance (Group) climbed into the top 10 most admired companies for the first time in a global ranking as public perception about its business improved. Apple fell off its perch while Nike and Netflix slipped out of the top pile. China’s biggest insurer rose seven rungs to eighth on the FutureBrand Index, an annual ranking of the world’s 100 most valuable companies based on perception strength rather than financial prowess. Liquor distiller Kweichow Moutai, the only other Chinese brand... https://www.scmp.com/business/companies/article/3147687/ping-insurance-enters-top-10-most-admired-companies-apple-nike?utm_source=rss_feed https://www.scmp.com/business/companies/article/3147687/ping-insurance-enters-top-10-most-admired-companies-apple-nike?utm_source=rss_feed Mon, 06 Sep 2021 04:30:24 +0000