Agricultural Bank of China Limited

Bank of China Limited Bank of China Limited is the third year of the 45-year plan to advocate Bank of China. earnestly implemented the Decisions and Arrangements of CBC, Central TV, and the State Council, which we have drafted. The political and the people-oriented financial work adheres to the main line of events in Greece and promotes the hospitality development. We are glad to share with you the fine figures for the operational performance of our bank. The profit growth rate exceeded 5%. Its first half year, net profit had a growth by 5.8%, an increase of 1 percentage point compared to the first quarter, and operating income increased by 11.2% year-on-year, an increase of 0.7 percentage points compared to the first quarter, showing good growth momentum. Also, in the first half year, the return on net assets was 10.14%, maintaining a leading level among comparable peers. The second set of data is that the increase in financing included in the first half year. The average culture of Bank of China effectively tapped into the financial needs of the bill economy with a large-scale financial increase, including loans and bonds, which is 2.2 trillion yuan, of which the increase in local and foreign currency loans amounted to 1.9 trillion yuan, increase of about 6.2 percent, the increase in bonds, investment rates 1.5 trillion yuan, with a growth rate of 9.6 percent, average daily balance of four deposits amounted to 39.5 trillion yuan, with an increase of 3.6 trillion yuan, actually an increase rate of 0.2%. Suddenly, the net interest margin expanded by two basic points. That's basically from the continuous effectiveness of our volume price definition of management in the first half year. The net interest margin of the Agricultural Bank of China was 1.28%, two basic points higher than that of the first quarter, showing a stabilizing trend. Bank of China Limited Bank of China Limited Bank of China Limited here the achievement of the bank's development board of directors proposed to pay the interim dividend for 2026 by raising the ratio by 1 percentage point to 31% these are the achievements we have brought in the first half year and these are the very important operational success reflecting a balanced approach between Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Now, as of the end of June, the balance of loans in county level areas reached 11.92 trillion yuan, an increase of 9% over the beginning of the year. The balance of the bank's exclusive productive performance, the Hui Nong Yidan Nong made 41 trillion yuan, an increase of 42.2% over the beginning of the year. The balance of deposits in county level areas was 14.94 trillion yuan, with an increase of 405.2%. 54.9 trillion yuan is a contributed 40% to the bank's total deported growth, and the proportion of county level grantees rose to 56.8%. The ADC has always taken as a position to serve the real economy, focusing on the conservation of its old and the new growth drivers, and the trend of industrial transformation upgrading, continuously optimizing the allocation of financial resources. Surrounding impact, we have used the high-quality Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited The number of physical social security card users reached 18.84 billion, and the scale of pension in trustee management was 438.6 billion, with a 14.3% increase in the number of individual pension clients that departed the month, rose by 36.7%, including digital finance, which finally completed the guarantee application of new generation communication technology cloud, computing, artificial intelligence, and other industries with loans to the digital economy increasing by 15.1%. The response to the national policy to boost their consumption with a housing mortgage, daily consumption, and other areas have increased. The credit supply, the balance of personal consumption loans, including credit cards, amounted to 1.5 trillion yen with a new rate of 49.054 billion yen. The country's high-level opening up and development in the fourth quarter Bank of China Limited As of the end of June, the total number of the personal customers of the ADC raised to $905 million, maintaining the first place in the industry. The number of corporate customers exceeded $14 million, with increases of $910,000 since the beginning of the year. The number of aesthetic card customers was $76.98 million, with an increase of $2.82 million. The number of personal mobile bank customers was $629 million, with $282 million. and 215 million multi-active users on mobile devices, ABC has always been customer oriented and has continuously strengthened the construction of a customer service system achieving common development with its customers. In terms of individual customers, it has deepened the business system of customer certification and certification for the customer groups that has heavily-accelerated individuals and new citizens and providing Bank of China Limited Bank of China Limited Bank of China Limited we continue to optimize our cash opening process, enrich online productivity, and enhance the capabilities of mobile and online services. As we further enhance client experience, we also stay true to our original operations and foundations to serve the people with financial services, promote the rural service market, introduce stellar news for rural services, provide quality financial service for special client groups, Bank of China Limited the AI-class technology system, it will accelerate the digital business innovation and in terms of process innovation, we have built a digital operations platform driven by AI technology and facilitated by tablets, helping to expand and increase online credit. In terms of the channel innovation, we've released the 11.2 version of personal online Bank of China Limited Bank of China Limited Bank of China Limited Bank of China Limited to be more intelligent. We will defend the AI application in compliance with the scenario and effectively enhance the quality and efficiency of the compliance management. We will also strengthen support for frontline service and we need self-developed AI agents, the Dragon Knights, to adapt to the technical requirements of different scenarios and business needs in order to incorporate an AI digital assistant. And we have completed the DC back-end lens a new model application and try to continue to enhance our AI capabilities. The fifth effort is to strengthen the security defense line and effort the high-quality development. Prevention and control is always our key task. In the financial work, we will continue to focus on the great prevention control. We appear to be proven and stable business strategy, continuously increase the competitive risk management system. In terms of credit-based, we focus on control the increase, reduce the stock, and strengthen the foundation, continuously optimizing the credit structure and constantly improving the risk prevention control system for inclusive retail with Agri-Pocket Bank of China's characteristics. We will also continue to improve the market-based system. The annual Policy for risk management and financial market business and aims for bank business and strengthen risk control requirements for market business. We track and study market changes to actively optimize business strategies, strengthen risk control, and keep relevant indicators stable. We closely follow international situations and market changes, dynamically adjust response strategies, and ensure risk control abilities. On technology rates, we study the location of our computer room and the intensity of our traditional physical and public capabilities. We also include the network security protection, actively responding to external rates, their soft-ended, new-based technologies. The average daily trading volume of the distributed core system is at 1.96 billion, with a year-on-year increase of about 70%. And the serviceability during main business hours is 100 hours. We also talk about the future development trends, I believe there are three changes of plan.

And this has created great space of development for the Agricultural Bank of China. And also the economic structure is changing profoundly in the first seven months of this year. The proportion of bound financing increased and this whole financial structure is changing. So this has imposed new challenges. for the banks. We need to find the new benefit spaces and possibilities. And also, at the same time, we notice that the AI technology is accelerating in its growth, so we need to integrate the AI system into our business management system. And also, we need to control the risks related to AI development and AI technologies. For ABC, we need to hold on to our all advantages, and we need to find our position in the whole economic development of China. and also we will have More attention paid to the international financial market and how we cooperate with our partners. And also, we need to see this opportunity of AI technology development to empower our whole process and system of development using AI technology. And looking into the second half of the business operation, our executives and our board of directors will coordinate the keys of works we have done in the previous half of the year of 2026, and we are going to increase our quality of assets, and we will try to improve the quality of our assets, and also to create more value for our investors in the future. And that's my introduction. Thank you very much. Now let's go to the Q&A session. Let's give the floor to the Secretary of DOD, Madam Liu Qing. Thank you very much, President Wang. Now let's go to the Q&A session. In this session, please, each of you have the opportunity to give one question, and please briefly introduce your institution and yourself before you ask the questions. Okay, let's give the microphone to this madam. Thank you very much. I'm from the and I listened to President Wang's introduction. We noticed that the operation revenue and the net profit has increased a very high level of growth and it's very resilient and a lot of growth are higher than the first season. So my question is for the executives, what are your expectations for the second half of year's growth and what are the driving forces for the growth? Thank you so much for the question. Just as you've mentioned, we have always stick to the path of high quality development. We want to have a long term development and we want to have an active position in this changing dynamics of the economy. So in the first half of the year, while we are serving the real economy and while we are having this very good performance, we have also made a lot of progress in the indicators of financial performances. and all these progress have shown our very stable pattern of development and our strategy for stabilized development. And just as Mr. Wang has introduced, looking into the second half of the year, we are very confident to keep on to this track of faster development and maintain a good operation revenue. And if we look at the outside environment, we can see that the economy is showing a trend The dynamics are towards the internal forces, and also the whole structure of the economy is upgrading and optimizing, and that has shown there is a great resilience to the China's economic development, and this stable microeconomic situation has created a very good environment for ABC's development, for our high-quality developments. And if we look into the past of our history's development, and if we look at ABC's own situation of development, we can find that we have our comparative advantages always. We have always focused on how to combine our own advantage with the whole environment development. And also, we have a very great and profound basis of clients. We have very comprehensive products. and very solid capital and assets, which will be our support for future resilience and potential of development. So speaking of the specific driving forces, first of all, we will hold on to our advantage of asset operation, which will help ensure the income from the interest payment. The Bank of China have always stick to the large number of networks all over China, especially at county level. And now with this rural revitalization policy of China and to build a new type of rural area policy of China, we have our own driving force, and we will continue on this path. And, of course, at the same time, we will have more diversified advantage being explored. And for the second half of this year, we will continue on this path. and secondly we have already achieved the cost of liabilities continuing to decline and that is in an orderly manner and for the second half of the year we will continue on this path for the first half of the year this average daily increase in deposit is at a reasonable level and is providing a very good support for the real economy development and on the other hand it also helps us in reducing this cost of liability. And if we look at this whole trend of development, it seems that the existing debt will gradually mature during the second half of the year and the continuous decline in debt costs will continue for a long time. And yes, that's the point we're going to stick to for the second half of the year. And certainly we have already provided more and more of Financial Services and Solutions and we have already made our contribution to the optimization of economic structure and this is the trend of the whole China's financial market. There is this changing in the financial structure and so facing this trend, the ADC will of course consolidate our existing advantage and at the same time we will have more plans and strategies towards the future to have more long-term transaction capacities cultivated and to improve our capital management capacity which can help us get through any kind of economic cycle. And the fourthly, we have already achieved this improvement in risk control and that will help us to have a more solid foundation for Future Development. We have always regarded this risk control as our foundation of all kinds of operation. And during the 14th five-year plan, our NLP decline rate is ranking number one in the four major banks of China. And also, we have this very good performance, speaking of this allowance coverage and other aspects. and these have all set very good foundation and very solid boundary for us to control the risks within a certain field and level. So all these four factors have shown our achievements. They have helped us to gain a very solid growth in the first half of the year and it will continue to help us in the second half of the year. Thank you very much for the introduction about ABC's profit-making ability. Now let's give the floor to this Journalist in the middle. Thank you. I'm from the Xinhua News Agency, Xinhua Financial News. Mr. Wang, you mentioned that the NLP rate has been declined for five consecutive years, and there is this growing capacity in terms of this allowance rate. So what is your expectation for the whole year's asset quality operation and especially for inclusive retail asset quality. Thank you.

Well, thank you for your question.