ICBC responds to "debt greater than loans": changes in incremental structure are becoming a new variable affecting net interest margin

"The change in incremental structure is becoming a new variable affecting the trajectory of net interest margin." This was stated by the relevant person in charge of ICBC's Asset and Liability Department at the October 30 results briefing, in response to market concerns about the phenomenon of "bond investment growth continuing to outpace credit." Regarding whether bond investment growth can continue to outpace credit in the future, ICBC offered three observation dimensions: First, look at the macro policy mix, taking into account fiscal budget arrangements and the pace of government bond issuance in a coordinated manner; second, look at effective credit demandif real economy investment and financing recover and high-quality projects increase, credit extension will rise accordingly; third, look at market interest rate trends, dynamically adjusting allocation strategies rather than purely pursuing scale expansion. ICBC judges that if policy rates remain stable, the net interest margin is expected to stabilize and bottom out within the year, and next year there may be slight narrowing pressure.