As the year-end approaches, China Everbright Bank has stepped up efforts to offload non-performing assets (NPAs).
Since November 2025, the bank has disclosed multiple NPA transfer project announcements on the China Banking and Credit Asset Registration and Circulation Center platform.
One such project involves the second batch of retail NPA bulk transfers from the bank’s Fuzhou branch. The portfolio consists of 71,000 borrowers with total outstanding principal of RMB 497 million, unpaid interest of RMB 216 million, and combined unpaid principal and interest of RMB 713 million.
The underlying loans are Meituan consumer credit loans, with borrowers sourced from Meituan’s ecosystem. The weighted average borrower age is 34.15 years, and the weighted average delinquency period is 729.36 days.
China Everbright Bank emphasized the portfolio’s strengths, noting significant room for recovery negotiations. The average outstanding principal per borrower is relatively low at RMB 7,001.44, with high interest rates. Some borrowers show willingness to repay, increasing the likelihood of successful repayment negotiations.
Beyond retail loans, the bank is also actively transferring corporate NPAs.
Its Haikou branch is offloading a corporate NPA project linked to Sanya Sun Bay Development Co., Ltd. As of September 30, 2025, the company’s outstanding principal stood at RMB 437 million, unpaid interest at RMB 253 million, and unpaid fees at RMB 194,400, totaling RMB 691 million in claims. The weighted average delinquency period was 2,345 days.
Meanwhile, the Taiyuan branch is transferring a non-performing loan tied to Shanxi Gome Electric Appliances Co., Ltd., with total outstanding principal of RMB 39.89 million, unpaid interest of RMB 27.09 million, and combined unpaid principal and interest of RMB 66.98 million.
Some projects have already found buyers. For instance, China Everbright Bank’s Urumqi branch successfully transferred three corporate NPA accounts, including Alashankou Hengchao Trading Co., Ltd., to China Cinda Asset Management’s Xinjiang branch.
Despite these efforts, the bank’s NPA situation remains challenging.
As of Q3 2025, its NPA balance reached RMB 50.71 billion, up RMB 1.46 billion from end-2024. The NPA ratio rose to 1.26%, a 0.01 percentage-point increase, while the provision coverage ratio declined to 168.92%, down 11.67 percentage points.
Mid-2025 reports showed corporate NPAs accounted for 59.53% of the total, with retail NPAs making up 40.47%. Within corporate loans, real estate NPAs ranked highest.
Wu Lijun, the bank’s 61-year-old chairman since January 2024, faces mounting pressure to address these asset quality issues.
Compliance risks further complicate matters.
On November 4, the Haikou branch was fined RMB 450,000 and confiscated RMB 2,800 in illegal gains for violating capital account fund settlement rules. The next day, the bank was fined RMB 3.86 million and forfeited RMB 424,400 in illicit profits for breaching foreign exchange regulations. Its Nanchang branch also received a RMB 1.5 million penalty for improper disposal and transfer of NPAs.
Within two days, China Everbright Bank incurred nearly RMB 6 million in penalties.
Profitability remains under strain. In the first three quarters of 2025, revenue fell 7.94% year-on-year to RMB 94.27 billion, while net profit declined 3.40% to RMB 37.28 billion.
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