Core Viewpoint - The article highlights the rapid completion of capital increases by China’s major banks, specifically the successful issuance of A-shares by Bank of Communications and Bank of China, raising a total of 2850 billion yuan in just 75 days, which is part of a broader government initiative to strengthen the capital base of state-owned banks [1][2][5]. Group 1: Capital Increase Details - Bank of Communications successfully issued approximately 141 billion A-shares at a price of 8.51 yuan per share, raising 1200 billion yuan, which is expected to enhance its core Tier 1 capital adequacy ratio by about 1.25 percentage points [2][3]. - Bank of China issued around 278.25 billion A-shares, raising 1650 billion yuan, with all shares subscribed by the Ministry of Finance, aimed at increasing the bank's core Tier 1 capital [3][4]. - The Ministry of Finance's total investment in this round of capital increase across four major banks amounts to 5000 billion yuan, with a significant portion allocated to Bank of Communications and Bank of China [5][7]. Group 2: Strategic Implications - The completion of these capital increases is seen as a move to strengthen the banks' capital positions, enhance their operational stability, and improve their ability to support the real economy [3][4]. - The Ministry of Finance's increased stake in Bank of Communications, now over 35%, positions it as the controlling shareholder, which is expected to optimize the bank's equity structure and support its long-term development [3][4]. - Bank of China aims to leverage this capital increase to enhance its capital adequacy ratios and promote high-quality growth, reinforcing its commitment to supporting the real economy [4][6].