ICBC profits surge on
(30 March 2009 – China) China’s ICBC, the world’s largest bank by market capitalisation, reported a 35 percent rise in net profit for 2008, despite tough global conditions.
ICBC's profit after tax for the year ended 31 December 2008 was RMB 111.2 billion (A$23.9 billion) up 35.2 percent from the year 2007.
During the past six years, the compound annual growth rate of after tax profit for ICBC has been a staggering 37.5 percent, making 2008 only just below average despite the deterioration in global market conditions.
ICBC said that the profit growth rate over the last six years makes it one of the world's fastest growing major international banks. ICBC is now not only the world's largest bank by market value, but also reportedly the most profitable bank in the world.
State-controlled ICBC is China's largest lender and the world's largest bank by market capitalisation at US$177.14 billion (A$252 billion)
As at the end of 2008, the bank's non-performing loans (NPL) actually decreased by RMB 7.3 billion (A1.57 billion) from the end of 2007, and the NPL ratio dropped by 0.45 percentage points to 2.29 percent.
ICBC said that at the end of 2008, bank cards in issue exceeded 238 million with consumption volume close to RMB 800 billion (A$172 billion). This included over 39 million credit cards in issue whose consumption volume surpassed RMB 250 billion (A$53.7 billion).
The income for the investment banking business increased by 78.2 percent compared with last year. The bank underwrote 52 bond issues during the year, with a total value of RMB 164.6 billion (A$35.37 billion) underwritten.
The rapid growth of the bank’s wealth management business continued during the year, with 216 products being introduced. In 2008, sales of the bank's own wealth management products reached RMB 2,197.6 billion (A$472.3 billion), an increase of 715 percent from 2007.
Jiang Jianqing, chairman of ICBC said the bank would look at opportunities for overseas acquisitions in the future.
During the past six years, the compound annual growth rate of after tax profit for ICBC has been a staggering 37.5 percent, making 2008 only just below average despite the deterioration in global market conditions.
ICBC said that the profit growth rate over the last six years makes it one of the world's fastest growing major international banks. ICBC is now not only the world's largest bank by market value, but also reportedly the most profitable bank in the world.
State-controlled ICBC is China's largest lender and the world's largest bank by market capitalisation at US$177.14 billion (A$252 billion)
As at the end of 2008, the bank's non-performing loans (NPL) actually decreased by RMB 7.3 billion (A1.57 billion) from the end of 2007, and the NPL ratio dropped by 0.45 percentage points to 2.29 percent.
ICBC said that at the end of 2008, bank cards in issue exceeded 238 million with consumption volume close to RMB 800 billion (A$172 billion). This included over 39 million credit cards in issue whose consumption volume surpassed RMB 250 billion (A$53.7 billion).
The income for the investment banking business increased by 78.2 percent compared with last year. The bank underwrote 52 bond issues during the year, with a total value of RMB 164.6 billion (A$35.37 billion) underwritten.
The rapid growth of the bank’s wealth management business continued during the year, with 216 products being introduced. In 2008, sales of the bank's own wealth management products reached RMB 2,197.6 billion (A$472.3 billion), an increase of 715 percent from 2007.
Jiang Jianqing, chairman of ICBC said the bank would look at opportunities for overseas acquisitions in the future.
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