What Is a Prime Bank?

China's five largest banks refer to five large state-owned banks, including: Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, China Construction Bank, Bank of Communications. ^[1-3]

China's top five banks

China's top five banks

Bank of Communications (BOCOM) was founded in 1908. Its head office is located in Shanghai. It is a state-owned commercial bank. ^{[35] It} is also one of the oldest banks in China since modern times. one. ^[36]

After the founding of the Republic of China, the Bank of Communications was entrusted by the Central Bank to jointly undertake the treasury revenue and expenditure and issue and exchange national currency business with the Bank of China. In 1928, the Legislative Yuan of the National Government passed the "Bank of Communications Regulations", and Bank of Communications became a specialized bank to assist agricultural, industrial, and mining businesses. When the Bank of Communications was established, the head office was located in Beijing. In 1919, after the end of the First World War, the Bank of Communications Shanghai Branch took over the Renaissance-style 4-storey building of Deutsche Bank, located on the Bund of Shanghai Public Concession. In 1928, as the national political center moved from Beijing to Nanjing, the Bank of Communications also moved its head office to Shanghai Bund 14. In 1937, the Anti-Japanese War broke out, and the Bank of Communications moved its headquarters to Chongqing. After the war, from 1946 to 1947, the Shanghai headquarters was rebuilt into an Art Deco style 6-story building.

The head office of the Bank of Communications moved back to Beijing in 1951, and the Shanghai Bund 14 site was settled by the Shanghai Federation of Trade Unions. In 1958, except for the Hong Kong branch, the domestic operations of the Bank of Communications were merged into the local People s Bank of China and the People s Construction Bank of China (now known as China Construction Bank (HKEx 0939)). In order to adapt to the reform and development of China's economic system, on July 24, 1986, as a pilot of financial reform, the State Council approved the reorganization of the Bank of Communications. On April 1, 1987, the reorganized Bank of Communications officially opened for business and became China's first national state-owned joint-stock commercial bank. The head office is located at 200 Jiangxi Middle Road, Shanghai (formerly Jincheng Bank Building). Relocated to 188 Yincheng Middle Road, Pudong, Shanghai. In 2004, the Hongkong and Shanghai Banking Corporation invested nearly $ 1.7 billion and acquired a 19.9% stake in Bank of Communications. On June 23, 2005, it was listed on the Hong Kong Stock Exchange. The stock code of the Hong Kong Stock Exchange 03328 was HK $ 2.5. It was issued on the Shanghai Stock Exchange on April 25, 2007, with an issue price of 7.90 yuan and a stock code of 601328. It was listed on May 15, 2007. In 2008, the Bank of Communications celebrated its 100th anniversary. ^[37]

Bank of Communications

China's top five banks

As China's first national joint-stock commercial bank, Bank of Communications has shouldered a dual historical mission since its re-establishment. It is both a heir to a century-old national financial brand and a pioneer in China's financial system reform. The Bank of Communications has achieved six "firsts" in the reform and development of China's financial industry, namely the first capital source and the form of property rights to implement a joint-stock system; the first to set up institutions based on market principles and cost-benefit principles; the first to break the financial Monopolize the business scope of the industry and introduce the competition mechanism into the financial field; the first company to introduce asset-liability ratio management and use this to regulate business operations and prevent operational risks; the first company to establish a new type of two-way bank-enterprise relationship; , Insurance, securities business comprehensive commercial bank. The Bank of Communications' reform and development practice has opened the way for the development of China's joint-stock commercial banks, and has played a catalytic, catalytic, and exemplary role in financial reform.

In June 2004, during the deepening of China's financial reforms, the State Council approved the overall plan for the Bank of Communications to deepen its shareholding reform. The goal is to establish the Bank of Communications as a company with a sound corporate governance structure, adequate capital, strict internal controls, operational safety, and services And modern financial enterprises with good efficiency, strong international competitiveness and a century-old national brand. In deepening the shareholding system reform, the Bank of Communications has completed financial reorganization, successfully introduced domestic and overseas strategic investors such as HSBC, Social Security Fund, and Central Huijin Company, and made great efforts to promote the benign transformation of the system and mechanism. On June 23, 2005, Bank of Communications successfully listed in Hong Kong, becoming the first mainland Chinese commercial bank to list overseas. The Bank of Communications has developed into a modern commercial bank with a century-old national brand that has clear development strategies, sound corporate governance, sound institutional networks, advanced management and management, high-quality financial services, and good financial conditions.