Thursday, 20 June 2024

CCB tops APAC retail banks for risk control, customer experience, and profitability

5 min read

By Rouxin Qi

CCB achieved the highest transaction share in banking payments across leading platforms, and 5.31% revenue growth

China’s leading bank, CCB, stood out from peers by embarking on a rapid expansion of its retail customer base that improved financial results. The bank’s risk control measures and customer experience also played a significant part in its ranking. CCB reported 5.31% revenue growth at the end of 2022, and net asset return rate of 20.69%.

The bank capitalised on its technological prowess, enhancing online payment products with cross-bank, cross-channel, and cross-border capabilities, securing the highest transaction share in banking payments across platforms like Alipay and WeChat Pay. Notably, CCB’s financial technology initiatives such as TOP+2.0 have made it a major architect of a large, closed-loop financial ecosystem. 

L to R: Lord Chris Holmes, Member of the UK House of Lords Science and Technology Select Committee; Gordian Gaeta, International Resource Advisor, TAB; Tang Jiajian, Deputy General Manager, Personal Finance, CCB; Richard Sandor, International Resource Advisor, TAB; Chris Kapfer, Research Director, TAB; Cindy Yu, Executive Director for China, TAB

Industrial and Commercial Bank of China (ICBC) was named Best International Cash Management Bank for its track record of providing comprehensive solutions to over 1.6 million corporate customers, with an annual settlement amount of some RMB 2,800 trillion ($391.3 trillion). The bank’s focus on value-added finance and treasury solutions further enhanced its appeal to businesses seeking efficient cash management services.

ICBC’s strong financial performance in cash management was reinforced by its contribution of 15% more cash management revenue to total revenue compared to 2022. The bank’s success is also reflected in its continuous acquisition of new business mandates, showcasing a year-on-year (YoY) increase of 10%. ICBC’s expertise in cross-border transactions, including cash pooling, had a notable YoY increase of 21%. Moreover, ICBC recorded an 8.32% increase in average deposits of RMB 6.1 trillion ($850 billion) in 2022.  

L to R: Gong Jiong, Vice President of Research and Strategy, University of International Business and Economics in Israel; Ye Yu, Senior Manager, International Cash Management Business Development, ICBC; Chris Kapfer, Research Director, TAB

Ping An Bank (PAB) was recognised as the Best Trade Finance Bank in China 2023, leading with a strong emphasis on technology and innovation. Through its Nebula Internet of Things platform and multi-dimensional data analysis, PAB addressed information asymmetry, and integrated data to reduce reliance on core enterprises. It provides online, modeled, and automated financial services for small and medium-sized enterprises (SME). Its Nebula Open Alliance caters to key customer groups to enhance their capabilities in manufacturing and innovative enterprises.

PAB achieved 26.54% growth in trade finance revenue and business value, attributing success to their tech-driven Smart Banking 3.0 strategy and client-focused solutions. The bank’s trade credit mode optimises supply chain finance, prepayment processes, and post-loan management, and has been successfully applied in sectors like the automobile ecosystem, resulting in over RMB 300 billion ($42.67 billion) in financing in 2022.

WeBank scored a second consecutive win as the Best Digital-only Bank in China and the Best Global Digital-only Bank for innovation. The bank has the largest user base with more than 350 million individual customers in China and three million small businesses. It saw monthly growth of 2.5 million customers in 2022.

The bank also demonstrated impressive operational efficiency, serving approximately 118,000 customers per employee while maintaining a cost-to-income ratio of less than 40%. The bank achieved 790 million daily transactions, actively enhancing service efficiency and customer experience for small businesses while also managing risk and cost, extending end-to-end digital loans totaling $188 billion to over one million SME borrowers in 2022.

L to R: Gordian Gaeta, International Resource Advisor, TAB; Zhong Min, Head of Brand and Public Relations Department, WeBank; Chris Kapfer, Research Director, TAB

WeBank’s financial results outperformed its two closest rivals. The bank achieved stronger revenue growth, a lower cost-to-income ratio and a higher return on equity compared to ING’s global retail arms that came in second in the ranking, and also beat US digital-only Ally Bank that came in third.

Bank of Beijing (BoB), this year’s Best City Commercial Retail Bank in China, holds the largest total assets and deposit-loan scale among all city commercial banks in China. It provides full lifecycle financial services to over 28 million retail customers and introduced financial services for children in 2022. Additionally, BoB was among the first to launch an individual pension business. Its retail loan scale remains at the forefront of city commercial banks in China. The bank developed an intelligent system with ‘digital employees’, introducing a remote banking model. 

L to R: Gordian Gaeta, International Resource Advisor, TAB; Chen Guo, Assistant General Managert, Retail Finance, Bank of Beijing; Chris Kapfer, Research Director, TAB

The evaluation process of the China Awards Programme 2023 lasted over six months, during which TABInsights conducted a comprehensive assessment using a scorecard mechanism to identify winning institutions in the shortlist. The nominees were then reviewed by an independent advisory committee of scholars, industry consultants and leaders who made the final selection. Fifty-eight awards were presented to institutions with significant industry influence and representation. The evaluation process involved extensive research analysis, data comparison, and in-depth interviews, ensuring a rigorous, fair, and transparent selection process.

 

Visit the photo album here: https://live.photoplus.cn/live/pc/52589638/#/live

China Awards 2023 Winners

  1. Green and Sustainable Bank of the Year in China: Industrial and Commercial Bank of China
  2. Green and Sustainable Fund Company of the Year in China: Huaxia Fund
  3. Best Core Banking Technology Implementation in Regional Finance: Bank of Qinhuangdao & Shenzhou Info
  4. Best Compliance Risk Technology Implementation in Regional Finance: Shanghai Rural Commercial Bank & Info Science & Tech
  5. Best Deposit/Savings Product in Regional Finance: Bank of Harbin
  6. Best Fraud Prevention Technology Implementation in Regional Finance: Bank of Langfang and Tongdun Technologies
  7. Best Frictionless Credit Evaluation Initiative in China: AIBANK
  8. Best Digital Customer Ecosystem Initiative in China: Lexin
  9. Best Frictionless Customer Experience Initiative in China: StanChart (China)
  10. Best Frictionless Sales Management Initiative in China: Ping An Bank
  11. Best Microfinance Product in China: MYBank
  12. Best Pension Product in China: CMB
  13. Best Business Ecosystem Platform Initiative in China: VTeam Financial Group
  14. Best Corporate Trade Finance Deal in China: Heng Feng Bank
  15. Best Digital Trade Finance Platform in China: Industrial and Commercial Bank of China
  16. Best International Cash Management Bank in China: Industrial and Commercial Bank of China
  17. Best Compliance Risk Technology Implementation: China Pacific Insurance Company & SAS
  18. Best Liquidity Risk Technology Implementation in China: China Construction Bank & CCB Fintech
  19. Best Market Risk Technology Implementation in China: Industrial and Commercial Bank of China
  20. Best Risk Data and Analytics Technology Implementation in China: Huaxia Bank Credit Card Center & Wiseco Tech
  21. Joint Stock Custodian Bank of the Year in China: China CITIC Bank
  22. Trading Platform of the Year in China: FOFUND
  23. Best Anti-Money Laundering Technology Implementation in China: Bestpay
  24. Best API and Open Banking Implementation in China: Ping An Bank
  25. Best Banking as a Service Technology in China: Industrial and Commercial Bank of China Technology
  26. Best Big Data Implementation (Asset Management Category): China Merchants Securities & Suoxinda & KMERIT
  27. Best Business Lending Technology in China: Dashu Creditech
  28. Best Conversational AI Implementation in China: Shanghai Pudong Development Bank Credit Center
  29. Best Data Analytics Technology in China: Qianhai Credit
  30. Best Data Infrastructure Implementation in China: CIB Digital Financial Services & Huawei Technologies
  31. Best Financial Supply Chain Implementation in China: Ping An Bank
  32. Best Lending Implementation in China: Harbin Bank Consumer Finance & Qifu Technology
  33. Best Omnichannel Technology Implementation: Industrial and Commercial Bank of China
  34. Best Operational Risk Technology Implementation in China: Mashang Consumer Finance
  35. Best Regulatory Technology Implementation in China: China Construction Bank & CCB Fintech
  36. Best Web3 Metaverse Implementation in China: China CITIC Bank
  37. Best Wealth and Asset Management Implementation in China: China CITIC Bank

Business Achievement Awards

  1. Best AI Technology Implementation: China Construction Bank
  2. Best Blockchain Implementation: China CITIC Bank
  3. Best Cloud Based Implementation: China Construction Bank
  4. Best Credit Risk Technology Implementation: Bank of Beijing
  5. Best Data Management Implementation: Industrial and Commercial Bank of China
  6. Best Treasury Management Implementation: Ping An Bank
  7. Best Process Automation Implementation: Industrial and Commercial Bank of China
  8. Best Financial Supply Chain Initiative: Ping An Bank
  9. Best Treasury Management Initiative: Industrial Bank
  10. Best Custodian Bank in China: Industrial and Commercial Bank of China
  11. Best Trade Finance Bank in China: Ping An Bank

Global Excellence Awards

  1. Best Automobile Financing Initiative: Ping An Bank
  2. Best Chatbot/Voice Banking Service: WeBank
  3. Best Digital Banking Service: Ping An Bank
  4. Best Social Media Engagement Initiative: Ping An Bank
  5. Best City Commercial Retail Bank in China: Bank of Beijing
  6. Best Digital-only-Bank in Asia Pacific: WeBank
  7. Best Global Digital-only Bank: WeBank
  8. Best Mega Retail Bank in China: China Construction Bank
  9. Best Retail Bank in China: China Construction Bank
  10. Best Retail Bank in Asia Pacific: China Construction Bank


Leave your Comments
Recent Comments