Industrial and Commercial Bank of China (“ICBC” or the “Bank”) places a high value on the formulation and implementation of its development strategy and has adhered to the strategy in its business development. Business transformation is the core strategy of the Bank. Since the joint-stock reform, the Bank has developed and implemented four three-year development plans centering around this core strategy and made remarkable achievements, proving that the transformation strategy complied with the economic and financial development trend and customer demands, conformed to the Bank's actual operation and development, and thereby was correct and effective. 2017 is the last year of the Bank's fourth three-year development strategic plan (2015-2017) and the initial year of its fifth three-year plan (2018-2020). The Bank will keep implementing the guidelines for transformation, focus on the in-depth transformation of business mode, improve the core competitiveness and push forward the sound and sustainable development of all businesses.
I. ICBC's main achievements in business transformation
Seizing the historic opportunities arising from the transformation of domestic economic development mode after the joint-stock reform, the Bank strived to overcome the adverse impact of international financial crisis, firmly promoted structural adjustment and development mode transformation, and preliminarily built an intensive and sustainable development path featuring balanced assets and capital, quality and benefits, and cost and efficiency. The Bank did a good job in structural adjustment and development mode transformation, and built a sustainable operation framework. It promoted the transformation of system, mechanism and process in depth and built a sound management framework and foundation for business transformation and development. It also made new breakthroughs in internationalized and integrated operations and kept improving its cross-border and cross-market service capability. In addition, the Bank improved significantly its competitiveness, demonstrating comprehensive competitive advantages among domestic banks, and ranked atop among international advanced banks in terms of main competitiveness indexes, showcasing constantly growing market influence.
II. The Strategic Framework of ICBC's New 3-year Plan
As the economic and financial environment at home and abroad will still be full of uncertainties and complexities for some time, the Bank will, based on the strategy for the new period, rely on the real economy, focus on stable quality, structural adjustment, pursuit of innovation and transformation promotion, and guarantee the constant quality improvement and efficient development of the Bank by sizing up the situation and taking active efforts. First, the Bank will implement the three major projects (reconstruction of credit management foundation, comprehensive disposition of non-performing loans and improvement of enterprise risk management) and improve the quality of transformation; second, the Bank will implement four major structural adjustments in terms of assets, liabilities, earnings and channels, and build a new operation framework matching with the new market and new type of business; third, the Bank will implement innovative transformation in five fields, namely, IT-based banking, retail banking, corporate banking, mega asset management & integration, and internationalization, and build the strategic foundation for stable profit growth and core competition advantage expanding against the background of new normal and interest rate liberalization; fourth, the Bank will deepen the institutional mechanism reform and lay a solid management foundation for transformation and development.
The Bank believes that the new three-year plan will serve as the strategic guidance and driver for its future operational development, and, following the plan, the Bank will promote its transformation and development to a new level.