HarbinBank in Rapid Growth

　　Founded in February 1997, HarbinBank is headquartered in Harbin and has set up 17 branches in cities such as Tianjin, Chongqing, Dalian, Shenyang, Chengdu, Harbin, and Daqing. Additionally, HarbinBank has initiated the establishment of 30 village banks across 14 provinces and municipalities, including Beijing, Guangdong, Jiangsu, Jilin, and Heilongjiang. HarbinBank also founded the first financial leasing company in Northeast China—Harbin Financial Leasing Co., Ltd.—and the first consumer finance company in Heilongjiang Province—Harbin Consumer Finance Co., Ltd.  As of June 30, 2024, HarbinBank (Group) operates 384 business outlets, with branches and offices spanning seven major administrative regions across the country.

　　HarbinBank adheres to the overarching principle of "pursuing progress while maintaining stability, achieving stability through progress, and establishing foundations before making breakthroughs." With the goal of accelerating the development of a strong financial nation, the bank focuses on promoting high-quality financial development and advancing supply-side structural reforms in the financial sector. By diligently implementing national economic and financial policies, HarbinBank has made new achievements in serving the real economy, mitigating financial risks, and deepening financial reforms. Its operational indicators demonstrate steady progress in scale, quality, structure, and efficiency.

　　As of June 30, 2024, the Bank's total assets amounted to RMB 882.8378 billion, an increase of RMB 69.5091 billion or 8.5% compared to the end of the previous year. Total customer loans and advances reached RMB 352.2373 billion, up by RMB 29.0546 billion or 9.0%. Total customer deposits stood at RMB 671.3007 billion, an increase of RMB 28.7951 billion or 4.5%. In the first half of 2024, the Bank achieved an operating income of RMB 7.1987 billion, representing a year-on-year increase of 8.17%. Net profit amounted to RMB 845.9 million, an increase of RMB 145.5 million or 20.8% year-on-year, while net profit attributable to shareholders of the parent company reached RMB 763.1 million, up by RMB 174.4 million or 29.6% year-on-year. In the rankings released by The Banker (UK) for the "Top 1000 World Banks 2024," the Bank was ranked 183rd. In the "Top 500 Global Banking Brands 2024" list by Brand Finance (UK), the Bank ranked 282nd. Additionally, it secured the 42nd position in the "Top 100 Chinese Banks 2024" rankings by the China Banking Association.

　　Corporate Finance  HarbinBank remains committed to its financial roots, striving to enhance the quality and efficiency of its support for the real economy. Meeting the demands of the real economy serves as both the starting point and ultimate goal of its high-quality development. Leveraging the Group’s widespread operational network, the bank focuses on supporting the “Three Bases, One Barrier, One Highland,” the “4567” modern industrial system, and the “Five Key Development Initiatives” to provide financial assistance for economic growth. The bank has intensified industry research and increased lending in key areas, including technological finance, green finance, inclusive finance, retirement finance, and digital finance. It fully supports the transformation and upgrading of the manufacturing industry, with a particular emphasis on expanding medium- to long-term loans for manufacturing enterprises and identifying high-value enterprises occupying core positions in the industrial chain. In the energy sector, the bank has increased credit offerings to secure traditional energy safety while fully harnessing the potential of new energy. It has allocated significant resources to support modern agricultural development in Heilongjiang Province, embedding supply chain finance within the integrated production model of “leading enterprises + bases + farmers.” The bank has also prioritized financing for infrastructure projects, especially in sectors crucial to public welfare such as electricity, heating, and transportation. It has responded promptly to requirements under the real estate financing coordination mechanism to promote the stable and healthy development of the real estate market. Additionally, HarbinBank has strengthened interbank financial cooperation, actively advancing syndicated loan businesses and deepening financial services. The bank continues to conduct client visits, organize diverse bank-enterprise matchmaking events, and bolster financing support for private and small- and micro-enterprises. As of June 30, 2024, the loan balance in Heilongjiang Province was RMB 200.711 billion, an increase of RMB 19.3409 billion compared to the end of the previous year. Total corporate loans reached RMB 201.786 billion, reflecting a 9.7% increase from the beginning of the year, accounting for 57.3% of all loans.

　　Cross-Border Finance HarbinBank continues to advance its "bulk customer acquisition, integration of industry and finance, specialized institutions" strategy, aiming for steady growth in key indicators of its cross-border financial business. The integration of industry and finance has been further deepened, driving higher-quality and more efficient investment attraction to support the development of the real economy. In the first half of 2024, the cross-border finance business line invested RMB 11.841 billion in assets, and the on-balance-sheet asset balance reached RMB 11.593 billion, an increase of RMB 6.442 billion, reflecting a growth rate of 125% compared to the end of the previous year. The bank also successfully obtained the pilot qualification for facilitating foreign exchange receipts and payments in commodity trade for high-quality enterprises, enhancing its ability to serve the real economy and making it easier for premium enterprises to conduct foreign trade transactions. Furthermore, HarbinBank successfully launched a next-generation international settlement system. The new system supports a more comprehensive operational model, higher efficiency in business processes, and more refined management requirements. It has greatly improved the professionalism, intelligence, and online capabilities of the group’s foreign exchange business system, providing efficient and secure technological support for the high-quality development of the bank’s cross-border financial business.

　　Retail Finance  HarbinBank has deepened the connotation of its retail service brand and accelerated the strategic transformation of its retail business, with retail deposits reaching new heights. As of June 30, 2024, the group’s total retail deposits, including both domestic and foreign currencies, amounted to RMB 471.4736 billion, an increase of RMB 26.3596 billion, reflecting a growth rate of 5.9%. In the first half of 2024, the average balance of retail deposits in both domestic and foreign currencies was RMB 461.5366 billion, an increase of RMB 48.5191 billion, representing a growth of 11.7% compared to the same period last year. According to statistics from the Heilongjiang Branch of the People’s Bank of China, as of June 30, 2024, the retail deposit balance of HarbinBank’s Harbin branch accounted for 19.3% of the local market share, with the highest increment in retail deposits in the local market. The bank has strengthened its retail finance service capabilities, rooted in the business philosophy of "customer interests first," focusing on professional development and brand creation through service. It has built a three-tier inclusive activity system—“Branch + Community + Online”—and deepened the “Financial Management Expert” brand for financial literacy events, effectively covering elderly, community, and child customer groups to improve the quality and efficiency of retail finance services.  As of June 30, 2024, the group had 14.7738 million retail customers, an increase of 1.262 million customers from the beginning of the year. As a "citizen bank" and "hometown bank," HarbinBank has fully leveraged its local advantages and actively implemented the social security card resident service "One-Stop Service." The bank has developed consumption application scenarios around people’s "food, housing, travel, shopping, and entertainment," promoting the activation of financial functions and continuously improving the public's recognition and satisfaction with the social security card. As of June 30, 2024, the bank had provided third-generation social security card issuance and replacement services to 1.388 million residents.

　　Inclusive Microfinance  HarbinBank is one of the earliest urban commercial banks in China to launch microloan services and the first domestic urban commercial bank to offer rural financial services. The bank’s inclusive finance business focuses on differentiated operations and mass customer acquisition. It deeply addresses the financial needs of inclusive customers by analyzing the full lifecycle patterns of micro-enterprises and the characteristics of segmented customer groups. As of June 30, 2024, the group’s inclusive small and micro-enterprise loan issuance amounted to RMB 15.3 billion, a 12% year-on-year increase. The number of customers reached 204,700, and the average loan pricing for new loans issued during the year decreased by 0.48 percentage points from the beginning of the year, continuously reducing financing costs for small and micro enterprises. The bank actively supports the financial efforts to advance rural revitalization and accelerate the construction of a strong agricultural nation. It has focused on key agricultural finance areas such as farmland development and rural industries. The bank has upgraded its services to enhance financial accessibility and customer satisfaction for farmers, thus contributing to the modernization of agriculture and rural construction. As of June 30, 2024, the group’s outstanding loans to farmers amounted to RMB 15.0061 billion, an increase of RMB 708.2 million from the beginning of the year. New loans for the spring planting season exceeded RMB 12 billion. The optimization of the agricultural finance structure has achieved results, with new agricultural entities, a key force in modern agriculture, accounting for over 92% of loan issuance. The bank continues to improve its agricultural product system, launching a dedicated service plan for the livestock industry and optimizing the online "Agri Flash Loan" 5.0 version. This has effectively enhanced the "tailored service" approach, efficiently meeting financing demands for major crops, economic crops, forestry economics, modern animal husbandry, and black land protection. Additionally, the bank is exploring deeper cooperation with leading agricultural industry enterprises and promoting the implementation of the "Hui Cang Rong" (benefiting warehouses with finance) business. Through this, the bank continues to provide financial "lifeblood" to nourish the agricultural fields of Heilongjiang.

　　HarbinBank adheres to a "prudent and conservative" risk appetite, continuously improving its risk management system, focusing on building a strong risk culture, and strengthening key aspects of risk management. The bank optimizes its institutional management mechanisms, enhances the construction of system tools, and increases its ability to prevent and respond to various types of risks, ensuring the steady and sustainable development of the group’s operations. The bank closely monitors changes in both internal and external circumstances, continuously refining risk entry standards and policy requirements, and establishing a forward-looking risk control system to manage risks effectively. It strictly controls the occurrence of new default risks, while also intensifying efforts to resolve existing risks. Through comprehensive measures such as cash collections, litigation recoveries, and write-offs of bad debts, the bank actively addresses non-performing assets and steadily promotes adjustments in asset business structures. Overall, the asset quality remains stable.

　　Looking ahead, HarbinBank will continue to be guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era. The Bank will thoroughly study, promote, and implement the guiding principles of the 20th National Congress of the Communist Party of China and the First, Second, and Third Plenary Sessions of the 20th CPC Central Committee, as well as the key speeches and instructions delivered by General Secretary Xi Jinping during his visit to Heilongjiang. HarbinBank will deeply understand the political and people-oriented nature of financial work, adhere to the overarching principle of “pursuing progress while maintaining stability, advancing stability through progress, and prioritizing foundation before reform,” and comprehensively enhance its operational and management capabilities. The Bank will focus on advancing initiatives in five key areas: financial technology, green finance, inclusive finance, pension finance, and digital finance. While steadfastly safeguarding against systemic financial risks, HarbinBank will drive high-quality development in all aspects, remain committed to the path of financial development with Chinese characteristics, and accelerate the construction of a modern financial system tailored to China's unique context.