Use Cases of USDC - @BeeezoHive enables users to earn real income in stablecoins for verified engagement [1] - @edenfi_onchain empowers users in Africa to save, send, and convert digital dollars without banks [1] - @BuFi_Global facilitates near-instant global payroll payments for remote teams in USDC [1] Geographic Impact - Digital dollars are providing greater control over savings and earnings in cities like Cairo, Lagos, Nairobi, Manila, and São Paulo [2] - Inclusive finance is being realized through the use of digital dollars in various regions [2]

Core Viewpoint - The article discusses tax and fee incentives aimed at supporting the development of small and micro enterprises, as well as individual businesses, particularly in the agricultural sector through preferential financial policies [2]. Summary by Sections Support for Small and Micro Enterprises - The article emphasizes the importance of tax incentives for financial institutions and small loan companies that provide small loans to farmers, allowing them to calculate taxable income based on only 10% of the interest income from these loans [3]. Eligibility Criteria - Farmers eligible for these loans are defined as those who have resided in rural areas for over a year, including those in collective households and rural individual businesses. Loans must be under 100,000 yuan to qualify for the tax benefits [4]. Enjoyment of Benefits - The tax benefits can be enjoyed without the need for a formal application process, simplifying access for eligible financial institutions [5]. Policy Basis - The article references several official documents that outline the tax policies supporting rural financial development and small loan companies, indicating a structured approach to promoting financial inclusivity [11].

Financial Data and Key Indicators Changes - The operating income for the first half of 2025 was CNY 1,000 billion, an increase of 2.95% compared to the previous year [4] - Net fee and commission income reached CNY 65.2 billion, up by 4% [82] - Net profit provisions increased to CNY 239.4 billion, reflecting a growth of 3.37% [5] - The gross loans to customers amounted to CNY 40 trillion, a rise of 6.2% [6] - The net interest margin (NIM) stood at 1.4%, with a return on assets (ROA) of 0.77% and return on equity (ROE) of 10.08% [6] - The capital adequacy ratio (CAR) was reported at 19.51% [6] Business Line Data and Key Indicators Changes - Loans to technology-related industries reached CNY 5 trillion, increasing by 16% [11] - The balance of inclusive loans to SMEs was CNY 3.74 trillion, up by 9.8% [14] - Personal consumption loans rose to CNY 614.2 billion, marking an increase of CNY 86 billion from the end of the previous year [17] - The balance of green finance reached CNY 5.72 trillion, an increase of 14.88% [12] Market Data and Key Indicators Changes - The loans to private enterprises totaled CNY 6.59 trillion, up by 9.92% [16] - The cross-border RMB settlement reached CNY 3 trillion, reflecting a growth of 23% [18] - The total asset of institutions in the RCEP region exceeded CNY 200 billion [19] Company Strategy and Development Direction - The company aims to focus on five priorities, including enhancing comprehensive financial services and supporting key infrastructure projects [24] - There is a commitment to high-quality development and optimizing operational strategies, particularly in asset and liability management [25] - The company plans to strengthen customer engagement and product portfolio to enhance market competitiveness [25] Management's Comments on Operating Environment and Future Outlook - Management highlighted the stable economic progress and sound macroeconomic measures in the first half of 2025 [70] - The company will continue to monitor credit policies and enhance risk control capabilities to maintain stable asset quality [71] - The outlook for the second half of 2025 includes a focus on supporting the real economy and optimizing credit policies [71] Other Important Information - The company has maintained a leading position in the industry with a cost-to-income ratio of 23.72%, outperforming peers [9] - The non-performing loan (NPL) ratio was reported at 1.33%, down by one basis point from the previous year [21] - The provision coverage ratio increased by 5.8% to 239.4% [22] Q&A Session Summary Question: What are the drivers behind the improvement in revenue and the outlook for profits this year? - Management noted marginal improvements in all business and profit indicators, with operational income and profit before provision showing positive growth [28] - Measures taken include improved capability to balance volume and price, fostering new drivers for noninterest income, and enhancing cost management [29][32] Question: Can you discuss the NIM outlook given recent rate cuts? - The NIM was reported at 1.4%, with a narrowing decline compared to previous quarters, but still leading in the industry [35] - Management indicated that while there may be further pressure on NIM due to rate cuts, proactive management will help maintain industry-leading levels [40] Question: What are the key areas for loan issuance and infrastructure loans? - The company executed guidelines to support the real economy, with corporate loans increasing significantly [42] - Infrastructure loans remain a pillar for the company, with expectations for better results in the second half due to national projects [46] Question: How does the company plan to manage bond investments amid market fluctuations? - The company has increased its bond investment to CNY 11 trillion, focusing on national, local, and corporate bonds [52] - A proactive strategy is in place to optimize bond investment structure and maintain a leading position in the market [56] Question: What measures are being taken to increase deposits in a low-interest environment? - The company reported a deposit increase of CNY 760 billion, with a focus on expanding the customer base and innovative products [60] - Strategies include leveraging technology for customer engagement and adapting to market dynamics [64] Question: What is the outlook for asset quality in the second half? - The NPL ratio was stable at 1.33%, with management committed to enhancing risk control capabilities [68] - The company plans to implement measures to mitigate risks and maintain stable asset quality indicators [71] Question: What progress has been made in fintech and digital economy initiatives? - The company has strengthened its digital ecosystem and improved customer experience through enhanced mobile services [76] - Significant progress has been made in AI technology, improving operational efficiency and customer service capabilities [74]

Core Viewpoint - The company actively responds to national inclusive finance policies by innovating business models to meet the financing needs of small and micro enterprises [1][3] Group 1: Business Model and Services - The company has established a specialized service system tailored to the characteristics of small and micro enterprises, providing financial support for the development of the real economy while ensuring risk control [1] - Key measures taken include optimizing business processes to simplify approval procedures, innovating risk assessment methods to create a multi-dimensional credit evaluation system, and reasonably controlling financing costs to alleviate the burden on enterprises [3] Group 2: Industry Impact and Future Plans - The company has cumulatively provided financing services to tens of thousands of small and micro enterprises, playing a positive role in promoting employment and industrial development [3] - Future plans include continuously improving the inclusive finance service system and enhancing service efficiency through digital means to provide professional and efficient financial support to more small and micro enterprises [3]