(China) – China’s only private bank, Minsheng Bank, is forecasting growth in net profits of 50 percent following a 60 percent rise in 2001 and a cut in non-performing loans to a unique one percent of its total book.Minsheng, which listed in late 2000, has seen its non-audited net profit rise 60 percent last year in one of China’s under performing banking industry’s bright spots. Its profit of 150.88 million yuan (US$18.22 million) in 2000 under international accounting standards doubled its 1999 profit.
The bank is looking to cut its non-performing loan ratio to 1 percent from more than 3 percent last year, relative to China’s “Big Four” state banks that have NPLs of around 25 percent.
Minsheng is also chasing central bank approval to sell a stake in itself to the International Finance Corp (IFC), which is looking at a 2 percent stake in Minsheng for US$25 million.