Over a Dozen Banks Successively List and Transfer Non-Performing Assets

People’s Financial News, March 16 — Since March, more than ten banks including Bank of China, China Construction Bank, Postal Savings Bank, Ping An Bank, Ningbo Bank, and Zhongyuan Bank have listed non-performing asset packages. In terms of disposal scale, the total principal and interest of non-performing loans proposed for transfer by many banks have reached billions of yuan. Data from the Credit Asset Registration and Circulation Center of the banking industry shows that both large state-owned banks and small- and medium-sized banks have joined this batch disposal of non-performing assets, with overall disposal efforts continuing to intensify.

From an impact perspective, Gao Zhengyang, a special researcher at the Su Commercial Bank, believes that for banks themselves, transferring non-performing assets through market-based methods can accelerate risk clearance, improve asset quality indicators, reduce non-performing loan ratios and provisioning pressures, and enhance the stability of the balance sheet. It can also reduce capital occupation and free up credit resources to support more dynamic areas of development.

From the perspective of the entire financial system, having professional institutions undertake the acquisition and disposal of non-performing assets can improve overall industry disposal efficiency and promote the formation of a more complete non-performing asset market ecosystem. (Securities Daily)