On September 23, PwC released the "Banking Industry Review and Outlook of China's Banking Industry for the Half-Year 2022", which showed that the overall net profit of 59 listed banks in the first half of the year increased by 6.28% year-on-year to 1.09 trillion yuan, and the profit before provisions The year-on-year growth was 2.06%, which was slightly slower than the same period in 2021. The revenue of large banks is stable, while the growth rate of interest income of joint-stock commercial banks and urban and rural commercial banks has slowed down. Although affected by unexpected factors, the domestic banking industry is generally stable, with profit growth slowing down, total assets accelerating, and overall asset quality remaining stable but polarized.
Zhang Lijun, managing partner of PwC China's financial industry, told the "Investment Express" reporter: "As the real economy faces increasing challenges, the banking industry's operating environment is also facing greater complexity and uncertainty, but there are also positive developments. factors. Banks should proactively take measures to make counter-cyclical adjustments, enhance their resilience to resist risks, continue to promote reform and strategic transformation, and help stabilize and recover the economy."
Xie Ying, PwC China financial industry partner, said: "In the first half of the year, the profitability indicators of listed banks generally showed a slow downward trend. The compression of the overall interest margin of the banking industry has made the income generation efficiency of listed banks based on asset scale less than before. . Large commercial banks and joint-stock commercial banks generally have similar trends in profitability indicators. Urban and rural commercial banks rely on lower interest margin declines and growth in investment income than joint-stock commercial banks, and are more stable in terms of average return on total assets. "
In the first half of the year, the net interest margins and net interest margins of listed banks generally showed a narrowing trend. The upward trend in net interest margins and net interest margins of individual joint-stock commercial banks and urban and rural commercial banks is mainly due to structural adjustments, growth in business scale, and decline in comprehensive costs such as interest-bearing liabilities. From the asset side, the downward pressure on the economy increased in the first half of the year, and banks responded to the call to benefit the real economy and reduce corporate financing costs; from the liability side, the savings deposit structure of the banking industry in the first half of the year was more biased towards time deposits than in the same period.
Data show that as of the end of June 2022, the overall assets of listed banks increased by 7.99% compared with the end of 2021, a significant acceleration compared with the second half of 2021. In terms of asset structure, the customer loans of listed banks continued to grow, and the proportion of total assets was basically stable. Government bond investment increased, and interbank assets increased in the short term. In the first half of the year, listed banks supported moderately advanced infrastructure construction, and corporate loans to the manufacturing, transportation, leasing and business services industries saw the largest growth; personal credit demand was relatively weak.
At the end of June 2022, the loan quality indicators of the 59 listed banks remained stable overall. The non-performing rate dropped slightly by 0.01 percentage points to 1.36% from the end of 2021, the special mention loan rate dropped by 0.03 percentage points to 1.84%, and the overdue rate increased slightly by 0.01 percentage points to 1.42%. . At the end of June 2022, the total liabilities of listed banks were 236.6 trillion yuan, an increase of 8.43% from the end of 2021, and the liability scale showed a continued growth trend. In terms of liability structure, customer deposits remain the main source of liabilities. The proportion of customer deposits of joint-stock commercial banks and urban and rural commercial banks continued to increase, while the proportions of interbank liabilities and bonds payable both declined.
At the end of June 2022, the deposit balances of listed banks continued to grow, and the growth rate was significantly higher than that in the first half of 2021. The growth rate of deposits of joint-stock commercial banks and urban and rural commercial banks was significantly faster than the overall growth rate of liabilities. Affected by the downward pressure on the economy and the fluctuations in the capital market, residents' willingness to deposit has increased significantly. In terms of deposit structure, the proportion of time deposits of listed banks continued to grow in the first half of the year. In terms of bank financial management, the existing scale of products is 29.15 trillion yuan. Affected by the "net loss" of wealth management products in the first quarter of 2022, the existing scale of wealth management products declined slightly. However, the market stabilized and rebounded in the second quarter of 2022, and the scale of wealth management products returned to more than 29 trillion yuan.
As of the end of June 2022, the core tier one capital adequacy ratios of listed banks have shown an overall downward trend. The profit growth rate of the banking industry has slowed down, the internal capital replenishment capacity is limited, and the core tier one capital adequacy ratios of listed banks have declined to varying degrees. The core tier one capital adequacy ratios of individual joint-stock commercial banks and city commercial banks are approaching regulatory requirements. Affected by factors such as increased difficulty in capital replenishment, these listed banks are facing pressure from declining capital adequacy ratios, and capital management needs to be further strengthened.
Xie Ying said: "As uncertainty in global economic growth increases, stagflation pressure continues, monetary policies in developed economies are further tightened, and domestic monetary policy easing has put pressure on banks' net interest margins, and bank profitability is also facing tests. Expectations The banking industry will continue to increase credit lending, with key areas including infrastructure construction, advanced manufacturing, technological innovation, and inclusion of small and micro businesses, while promoting the rapid development of green finance and continuing to promote the digital transformation of the banking industry."
Related news: 21 major banks reduced or reduced service fees by 137.5 billion yuan in the first half of the year
The China Banking and Insurance Regulatory Commission recently pointed out that in the first half of 2022, 21 major banks reduced service fees for other types of market entities by 137.5 billion yuan, a year-on-year increase of 9.5%. After the China Banking and Insurance Regulatory Commission issued the "Guiding Opinions on Standardizing the Management of Price Adjustments in the Banking Service Market", 21 major banks reorganized and evaluated service items and price standards, canceled an average of 14 billing service items, and lowered an average of 16 billing service prices. , an average of 46 reductions and exemptions have been implemented to other types of market entities, and it can be directly estimated that the annual new reductions and exemptions will be 6.2 billion yuan.
The China Banking and Insurance Regulatory Commission also stated that from the perspective of long-term implementation effects, the banking industry has standardized service pricing methods, introduced price calibration mechanisms, and implemented
