At the 2026 interim results briefing held on August 20, the head of the business department at Bank Of Nanjing Co.,Ltd. addressed asset quality concerns, stating that the bank's key asset quality indicators have remained stable throughout 2026. This stability, he noted, is a reflection of the bank's long-term prudent operations and cautious risk management practices.
Regarding risk control, the department head emphasized that the bank consistently adheres to a strategy of strict oversight and management. By reinforcing the integration of business and risk functions, deepening early warning inspections, front-loading risk resolution, and intensifying non-performing asset disposal, the bank ensures that credit risk remains generally stable and controllable. The credit business follows a dual-pronged approach of "improving quality for new credit extensions while steadily clearing existing risks," with synchronized optimization of client, product, and risk strategies. At the entry point, the bank accelerates the iteration of risk models to strictly control the quality of new credit. At the exit point, it strengthens tiered and categorized management of existing exposures, employing diverse methods to resolve risks, which has already led to marginal improvements in the risk profile of new credit business.
On risk absorption capacity, the department head noted that the bank maintains prudent and full provisioning, while simultaneously stepping up risk disposal efforts. Although the provision coverage ratio has slightly declined, the bank's capacity to absorb risks remains adequate. Moving forward, it will continue to adhere to a prudent provisioning principle, maintain reasonable provisioning levels, and keep the coverage ratio broadly stable to ensure sufficient risk resilience.
"Looking ahead, we have both the confidence and the measures to safeguard our risk defense line and continuously ensure the stability of asset quality," the department head concluded.
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