Banking in a New Cycle
Since the beginning of 2024, the Wind Banking Index has risen by over 11%, outperforming the Shanghai Composite Index by around 3% during the same period. The stock prices of the four major state-owned banks have hit record highs.
In 2023, the overall net profit of commercial banks continued to grow. According to data from the National Financial Regulatory Administration, commercial banks achieved a net profit of 2.38 trillion yuan in 2023, an increase of 3.24% year-on-year. As a barometer of the Chinese economy, the balance sheets of commercial banks are undergoing changes, shifting from pursuing scale to stability and entering a relatively stable stage.
