Ge Long Hui·2025-06-02 01:20Core Viewpoint - The China Internet Finance Association has released group standards for online banking, which were developed in collaboration with major banks, indicating their technological strength and paving the way for accelerated digital transformation across the banking industry [1][2][7] Group Standards and Digital Transformation - The association published three group standards, including "Basic Requirements for Online Banking Services," which were drafted by major banks such as ICBC, Postal Savings Bank, and Minsheng Bank. These standards are expected to significantly promote the construction of online channels and digital transformation in the banking sector [2][3] - Major banks have demonstrated their financial technology capabilities, further leading the digital transformation. The standards were developed in response to the "Leader" system proposed by the State Administration for Market Regulation and other departments, reflecting the leading position of major banks in the industry. In 2021, ICBC and Postal Savings Bank invested CNY 26 billion and CNY 10 billion in financial technology, accounting for 2.76% and 3.15% of their revenues, respectively [2][3] Inter-Bank Cooperation and Digitalization - The group standards provide a framework for online banking services, including detailed requirements for mobile and desktop product design, which will help smaller banks, especially rural commercial banks and credit cooperatives, to adopt mature and stable design experiences from major banks. Recent regulatory emphasis on developing independent research capabilities in the banking sector further supports this collaboration [3] Market Rates and Liquidity - The monetary market remains loose, with low interest rates. As of last Friday, the average rates for DR007 and DR001 were 1.57% and 1.39%, respectively, indicating a highly ample liquidity environment. However, the demand for funds in the real economy has not significantly improved [4] - The issuance rate for one-year interbank certificates of deposit from joint-stock banks was 2.39%, reflecting a slight rebound but still at a low level, suggesting that the demand for funds in the real economy remains weak [4] Sector Performance - The banking sector showed strong performance during the week, although it lagged behind the overall market. The China Banking Index fell by 2.95%, while the CSI 300 Index rose by 3.65%. In Hong Kong, the Hang Seng H-Share Financial Index increased by 0.48%, also underperforming the Hang Seng Index, which rose by 3.43% [5] - Notable individual stock performances included Chengdu Bank (up 12.14%), Ningbo Bank (up 7.42%), Nanjing Bank (up 6.69%), and Xian Bank (up 6.45%) in A-shares, while in Hong Kong, Postal Savings Bank (up 2.77%) and Zhejiang Commercial Bank (up 1.69%) led the gains [5] Trading Activity - Market trading activity has shown significant recovery, with the average daily trading volume of A-share banking stocks reaching CNY 20 billion, a 47.5% increase from the previous week. In Hong Kong, the average daily trading volume for banking stocks was HKD 6.7 billion, a 13% decrease from the previous week [6] - Northbound funds slightly adjusted their holdings in the banking sector, with an average holding of 3.04%, up 0.04 percentage points, while southbound funds held an average of 8.56%, down 0.04 percentage points. The overall premium level of A/H shares in the banking sector increased slightly, with an average premium rate of 37.16% [6]