introduction
The data of the third quarter report of A-share listed banks reveals a trend: nearly half of the banks' revenue fell year-on-year. This phenomenon is influenced by multiple factors, including loan repricing, downward market interest rates, and capital market volatility. In the face of this situation, banks have adjusted their strategies and actively sought ways to develop and advance.
### Industrial Bank in the camp of joint-stock banks
IB showed its own adjustments and changes in the results of the third quarter. Total assets reached 9.92 trillion yuan, a year-on-year increase of 7.09%, just a stone's throw away from the 10 trillion asset mark.
The deposit and loan business grew steadily, with both customer loan balance and customer deposit balance showing growth.
### Balance Sheet Restructuring Strategy
In the face of the general decline in net interest margin, IB adopted the strategy of "assets determine liabilities" and continued to promote the restructuring of its balance sheet. On the asset side, we emphasize "making up the price by volume" and hedge the impact of narrowing interest margins through credit delivery, while on the liability side, we pay attention to "structural optimization" and reduce deposit costs through various means.
### Effect of Balance Sheet Restructuring
Through this strategy, IB has effectively alleviated the downward pressure on interest margins.
Although the net interest margin continued to narrow in the overall environment, the net interest margin of IB was still among the highest. With the decline in net interest margin, the growth rate of net interest income turned from negative to positive.
### What's next
On the asset side, IB will continue to maintain the allocation of credit assets and strive to increase the proportion of retail credit increment. On the liability side, it plans to continue to reduce the high-cost deposits of corporate finance, moderately control the increase in long-term retail deposits, and further optimize the structure. IB will transform into "two light and one high" to achieve a virtuous cycle of capital-intensive operation and satisfactory growth of revenue and profit.
### Enhancement for the retail sector
IB focuses on increasing the contribution of the retail sector to total assets, revenue and profit. In terms of retail credit business, banks will strengthen digital transformation and expand personal business loans and consumer loans. For the retail wealth business, the growth of wealth distribution revenue is promoted through service companionship, precision marketing and other means.
### Regional and industry strategies
IB has made key arrangements and increased investment in the Yangtze River Delta, Pearl River Delta, Bohai Rim and other regions. Deepen the "region + industry" strategy, focusing on the "five new tracks" such as inclusiveness, science and technology, energy, automobiles, and parks.