China_Banks
Contents
Change in loan mix to boost asset yields 3
Net interest spread resumes incline 3
New loan mix, higher asset yields 4
Low-cost deposits check funding costs 7
Negative deposit migration trimming funding costs 7
Tax deduction more key than reduction 9
Lower standard rate, but change in business tax unlikely 9
Tax deductible expenses 10
Operating environment still challenging 13
Reserve rate hike to cap loan growth 13
Mounting competition – long-term threat 13
BOC, ICBC and CMB stand out 15
Company profiles 17
Bank of China Ltd 17
China Construction Bank 21
ICBC 24
China Merchants Bank Co Ltd 27
Bank of Communications 30
Appendix — Peer summary 33