China Eximbank 2021 Work Conference (Video) was held in Beijing on 26-27 January. Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, the conference participants studied the requirements of the Fifth Plenary Session of the 19th CPC Central Committee and the Central Economic Work Conference, reviewed the Bank’s business development in 2020, and made work plans for 2021. Chairman Hu Xiaolian delivered a work report, Vice Chairman and President Wu Fulin made concluding remarks, and Vice President Sun Ping presided over the conference. Vice President Xie Ping, Chief Inspector of the Discipline and Supervision Office of the CPC Central Commission for Discipline Inspection and the National Commission of Supervision of the PRC at the Bank Zeng Mingzi, Vice President Ning Yong, Vice President Li Jun, Secretary to the Board of Directors Jiang Juhua, and Chief Risk Officer Li Zhongyuan attended the conference. Equity Directors, members of the Board of Supervisors and the Discipline and Supervision Office of the CPC Central Commission for Discipline Inspection and the National Commission of Supervision of PRC at the Bank were invited to the conference. Heads of departments at the head office attended the conference on site, and heads of branches attended via video link.

    It was noted at the conference that, the year 2020 witnessed the successful conclusion of China’s 13th Five-Year Plan and new business expansion and breakthroughs made by the Bank. Faced with a fluid international environment and the severe impact of COVID-19 pandemic, the Bank, under the strong leadership of the CPC Central Committee and the State Council, fully implemented the important instructions of General Secretary Xi Jinping and the decisions made by the CPC Central Committee and the State Council, followed the overarching principle of making advances while ensuring stable performance, acted on the new development philosophy, and fully leveraged the Bank’s role of boosting stable performance in key sectors, thus contributing its share to both COVID-19 control and China’s economic and social development.

    As of the end of 2020, the Bank’s total on- and off-balance sheet assets exceeded RMB5 trillion, a year-on-year growth of more than 10%. Its balance of Renminbi and foreign currency loans surpassed RMB4.3 trillion, a year-on-year increase of over 13%. Among which, the balance of Renminbi loans surpassed RMB3 trillion, with the amount of loans signed and disbursed both reaching record high.?The Bank also improved its capability to forestall risks. Its non-performing loan ratio stood at 1.62%, dropping for three consecutive years.

It was indicated at the conference that, first, the Bank fulfilled its responsibilities to support COVID-19 response and the reopening of the economy. It immediately set up a leading group for pandemic control and implemented necessary response measures. The Bank also met the financing needs of enterprises engaged in pandemic control by taking appropriate steps to make credit more accessible to them, including adjusting credit rating criteria, simplifying credit review and approval procedures and providing special funds. It implemented in full the Chinese government’s fee reduction and interest concession policy, exempted a number of micro, small and medium-sized business entities hit hard by COVID-19 from loan interest totaling over RMB7.7 billion.

    Second, the Bank took multiple steps to ensure stable performance of China’s foreign trade. Ensuring stable growth of China’s foreign trade has remained the Bank’s top priority. The Bank surpassed the annual target of loans signed with and disbursed to foreign trade companies, with a total disbursement reaching RMB1.9 trillion throughout the year. It set up special relief funds to help keep industrial and supply chains stable and jobs secured.

    Third, the Bank fully leveraged its leading role in business sectors where it has competitive strength. It endeavored to stabilize industrial chains and major industrial clusters by providing targeted support. By the end of 2020, the Bank’s loans to the manufacturing sector had increased by close to 20% year on year. The Bank responded to the shocks brought by the pandemic, closely monitored major projects affected by COVID-19, maintained close contact and coordination with stakeholders concerned to make sure that funds needed for project construction were disbursed on time and in full. It also acted on the Chinese government’s decision and implemented the G20 Debt Service Suspension Initiative.

    Fourth, the Bank made concerted efforts to assist poverty reduction and provide inclusive finance. It overcame difficulties and provided medical supplies raised through various sources to the two counties receiving the Bank’s paired-up assistance in their fight against the pandemic. It also increased poverty-alleviation funds by a considerable margin and implemented poverty-alleviation programs. The Bank strictly implemented the time-limited policy on postponing principal and interest repayment for micro,?small, and medium-sized businesses, and set up a special on-lending facility, benefiting over 67 thousand enterprises.

    Fifth, the Bank continued its efforts to defuse risks and improve operation management. By establishing a coordinated mechanism for forestalling and controlling risks, the Bank reinforced risk monitoring and screening, mitigated risks in key projects, took effective measures to withstand overseas risks, and enhanced internal supervision and compliance management. The Bank improved its corporate governance and operation management, and saw to it that efforts to strengthen the Party and business development go hand in hand. ?

It was emphasized at the conference that the Fifth Plenary Session of the 19th CPC Central Committee and the Central Economic Work Conference charted the course and provided guiding principles for the Bank’s work on all fronts. All staff of the Bank should be keenly aware of the judgement made by the CPC Central Committee on the current situation, and have a profound understanding of the new challenges in the new development stage and the new requirements for fostering a new development paradigm, so as to lay a solid foundation for future work. ?

    The overall requirements for the operation and management of the Bank in 2021 were put forward at the conference, which were: the Bank should continue to follow the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era and fully implement the guiding principles of the Fifth Plenary Session of the 19th CPC Central Committee and the Central Economic Work Conference. It should follow the overarching principle of pursuing advances while ensuring stable performance, better adapt to the new stage of development, apply the new development philosophy and foster new development dynamics. It should pursue high-quality development, improve resource allocation, and pursue reform and innovation as the fundamental driving force to increase asset and returns and control risks. It should boost Party leadership and strive to better play its role as a policy bank to achieve high-quality development. Targets and tasks were set for the Bank’s operation and management according to the overall requirements.

    It was requested at the conference that the Bank should focus on the following tasks in 2021. First, facilitate China’s high-quality economic development with the focus on optimizing credit structure, support innovation-driven development, promote China’s high-quality trade development, assist the development of micro, small and medium-sized enterprises, and facilitate China’s high-level opening up. Second, fully tap into the potential of its business, develop intermediary business, and strengthen investment and liability management. Third, guard against potential risks, conduct risk prevention at an earlier stage, strengthen post-loan monitoring and management, increase efforts in mitigating risks, dispose of non-performing loans well, and reinforce the management and control of overseas risks. Fourth, strengthen reform and innovation to enhance its capability to pursue high-quality development, draw up the Bank’s overall development plan for the 14th Five-Year Plan period, and push forward the reform of policy-based finance. Fifth, accelerate the building of IT blueprint to develop Fintech, and align the building of IT framework with the Bank’s business development in the medium and long run.?

    It was noted that to accomplish the targets and tasks for 2021, the Bank must resolutely implement the overall requirements of Party building in the new era, give full play to the leading role of comprehensive and strict Party governance, promote high-quality development with high-quality Party building, in an endeavor to provide a solid ground for the Bank’s development in all aspects. As the 14th Five-Year Plan has been drawn up and the Long-Range Objectives Through the Year 2035 have been set, we at the Bank shall continue to free our minds, stay committed to our goals and break new ground in business development. We will shoulder our responsibilities and forge ahead in pursuing high-quality development. With confidence and resolve, we will make a good start in implementing the 14th Five-Year Plan and commemorate the centenary of the CPC with outstanding achievements.

    Further requirements for pandemic prevention and control were also proposed at the conference. ?