CBI faces up to triple risks at home and abroad, will focus on five areas

The situation at home and abroad in 2022 is still severe, how to consolidate the bright achievements in 2021, and rise to the occasion, is also the most important concern of the management of the Bank of Communications.

Liu Jun confessed that 2022 may be the most complex situation in his nearly 30 years in the industry, three aspects of the challenge is particularly severe. The first is the challenge of the epidemic, whether the economy can restart depends on the evolution of the epidemic; the second is undoubtedly full of uncertainty in the international situation. The geopolitical situation has led to frequent supply chain problems and soaring upstream resource prices, making inflation an untamable beast; in addition, China's domestic economic situation is under triple pressure - a contraction in demand, a supply shock and a weakening of expectations.

"It will indeed be difficult for CBC to consistently deliver a satisfactory answer to the capital markets in 2022." But David Liu also believes that optimistically, the policy side does have plenty of tools to continue using as well. For example, China's monetary policy toolbox has many unused tools; current export growth is slowing to some extent, but the overall growth momentum has not reversed; supportive macro policies have created a good environment for the economy to run reasonably smoothly.

Liu Jun said, the future will focus on five aspects to meet the difficulties. The first is to increase its efforts to accurately serve the real economy and accurately determine which real economy areas need further financial support in the process of the three overlapping periods.

Secondly, CBC will focus on strategic key areas, further leverage on CBC's advantage of being the home of Shanghai and seek to make a breakthrough in innovation. The Bank will continue to be an early and pilot player in the Yangtze River Delta region in the areas of inclusive finance, trade finance, technology finance and asset management, and will rapidly promote and extend good financial products and services.

At the same time, CBI will also continue to accelerate its digital transformation. In August last year, the Bank of Communications officially launched the Bank's 14th Five-Year Plan for the development of financial technology, shortening its vision to "POWER", which means that it will focus on platform building, open ecology, intelligent services, enterprise-level architecture and reshaping business processes, institutional mechanisms and production relationships. In 2021, the Bank will invest RMB 8.75 billion in financial technology, an increase of 23.6% year-on-year.

In addition, the Bank will further leverage its advantage of a full range of financial licenses, enhance the synergy between different subsidiaries and the parent bank, explore public-private linkages, group synergy, scale customer expansion, leverage the growth of core liabilities, and do a good job of online and offline synergistic operations.

Finally, David Liu also stressed the importance of comprehensive risk control. "After any crisis there will be a process of water falling out, and the risks will continue to gather and accumulate in the middle of the crisis evolution process, and we hope to effectively prevent and resolve financial risks through the enhancement of our systematic capabilities."