Zhong Guo Xin Wen Wang·2025-08-30 07:41Core Insights - The four major state-owned banks in China reported a decline in non-performing loan (NPL) ratios and maintained robust profitability in the first half of 2025, indicating improved asset quality and effective support for the real economy [1][5]. Group 1: Profitability and Interest Margin Management - The net interest margins (NIM) of the four banks have narrowed due to factors such as the continuous decline in LPR rates and adjustments in mortgage rates, with NIMs reported as 1.3%, 1.32%, 1.26%, and 1.4% for ICBC, ABC, BOC, and CCB respectively [1]. - Banks are implementing various measures to stabilize NIMs, including enhancing loan pricing management and increasing foreign currency bond investments [1][2]. - Management from multiple banks expressed optimism that NIMs are expected to stabilize in the second half of the year, with indications of a narrowing decline [1][2]. Group 2: Credit Structure Optimization - The four banks are focusing their credit resources on supporting the "five major areas" of finance, with a significant emphasis on technology sectors related to new productive forces [3]. - ABC reported a technology loan balance of 4.7 trillion yuan, with an increase of over 800 billion yuan and a growth rate exceeding 20% [4]. - BOC announced a plan to provide 1 trillion yuan in comprehensive financial support for the development of the artificial intelligence industry over the next five years [4]. - ICBC is increasing financial support for advanced manufacturing and large-scale equipment upgrades, with a manufacturing loan balance of 5.2 trillion yuan, including 2.4 trillion yuan in medium to long-term loans [4]. Group 3: Asset Quality Improvement - The overall asset quality of the four banks has improved, with a general decline in NPL ratios and sufficient provision coverage, enhancing their risk resilience [5]. - ABC's NPL ratio was reported at 1.28%, a decrease of 2 basis points from the beginning of the year, with targeted risk management strategies in place [5]. - BOC's management indicated that the real estate market is expected to gradually stabilize due to aligned policies on both supply and demand sides [5].