China’s Listed Banks See over Double Digit Growth in Green Finance

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A-share banks in China have driven vigorous growth in green finance in the first half of 2022, following a push from the Chinese central bank to help fulfil the Xi administration’s twin goals of peak carbon by 2030 and carbon neutrality by 2060.

Big-state owned banks led growth in green financing, with many posting increases in their green loan balances of more than 20% since the start of the year.

At the end of the first half China Construction Bank’s (CCB) green loan balance saw 22.93% growth compared to the end of last year, with an increase of 450.189 billion yuan.

Agricultural Bank of China’s (ABC) green loan balance was 2.3743 trillion yuan as of the end of the first half, for growth of 20.0% compared to the end of last year, while Postal Savings Bank of China (PSBC) had a green loan balance of 433.671 billion yuan, for growth of 16.49%

Bank of Communications (BOCOM) had a green loan balance of 574.137 billion yuan, for growth of 20.42% compared to the end of 2021.

A number of joint-stock banks also saw robust growth in green loans. China Everbright Bank’s green loan balance stood at 157.723 billion yuan as of the end of the first half, for an increase of 33.13 billion yuan, or 26.59%, compared to the end of last year.

China Minsheng Bank’s green loan balance was 151.248 billion yuan, for growth of 40.94% compared to the end of last year, while for China Merchants Bank the figure was 312.183 billion yuan, for growth of 18.32% over the same period.