Core Viewpoint - China Merchants Bank (CMB) is accelerating its transformation in four key areas to address challenges posed by a low interest rate environment and to achieve high-quality development [3][4]. Group 1: Challenges Facing the Banking Industry - The banking industry is currently facing multiple challenges, including a fragile recovery in the domestic economy, insufficient effective demand, and operational difficulties for some enterprises [3]. - Additionally, banks are experiencing narrowing interest margins, declining profitability, and insufficient effective credit demand [3]. Group 2: Strategic Initiatives for Transformation - CMB plans to enhance its international business development, focusing on overseas institutional layout and cross-border financial services to improve global service capabilities [3]. - The bank aims to leverage its multi-licensed subsidiaries to achieve coordinated development in wealth management, asset management, investment banking, and financial markets, creating new competitive advantages [4]. - CMB will maintain its competitive edge in retail banking by developing systematic and differentiated advantages, offering specialized products and services to meet diverse customer financial needs [4]. - The bank is committed to digital transformation by increasing technology investments and utilizing AI and big data to improve service efficiency and quality while reducing operational costs [4]. Group 3: Financial Goals - Despite pressure on net interest margins, CMB aims to maintain a leading position in net interest margin levels through optimizing asset-liability structures and enhancing deposit cost management [4]. - The bank has set a reasonable loan growth target of 7%-8%, based on external macroeconomic conditions and its own development situation [4].