CITIC Bank Vice President Prioritizes Risk Control Over Returns, Citing "Three Stabilities" in Asset Quality

Deep News08-27 10:20

During the bank's 2026 interim results conference held on August 27, Vice President and Chief Risk Officer Jin Xinian highlighted that asset quality has achieved "three stabilities" in the first half of the year.

First, the non-performing loan (NPL) ratio remained stable at 1.15% by the end of June, unchanged from the end of last year, marking a steady performance after seven consecutive years of decline. Second, the NPL formation rate held steady at 0.55%, matching the level from the same period last year. Third, the provision coverage ratio stayed robust at 203.12%, a slight year-on-year dip of 0.49 percentage points, a smaller decline compared to industry peers.

Mr. Jin attributed the stable asset quality to both a long-standing commitment to risk management principles and continuous enhancements in the bank's risk control framework and capabilities. He emphasized that CITIC Bank adheres to an operational philosophy of effective risk containment and supportive development, stressing a preference for forgoing returns over taking on risks, and pursuing returns that have been thoroughly risk-filtered.

Looking ahead, CITIC Bank is focusing on its "Three-Three Strategy," further clarifying a risk control approach centered on systematic governance, structural soundness, quality priority, management effectiveness, and a strong internal control foundation.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment