Chinese banks: Profitability under pressure but other metrics hold up


BankFocus Research

We compared three subsets of Chinese banks – the five largest commercial banks, a group of ten joint-stock commercial banks, and a collection of 30 local and regional Chinese banks – for the period spanning from 2020 to the second quarter of 2023. Our analysis into these selected institutions reveals a divergence in annual asset growth rates among the three Chinese peer groups. The five largest banks have exhibited the most rapid growth, boasting a Compound Annual Growth Rate (CAGR) of 13% since 2020. Despite these variations in growth rates, the overarching risk profile of the assets held by the Chinese banks has remained largely consistent.

To learn more, please download our BankFocus research paper.

READ THE REPORT