Chinese Banks Step Up NPL Write-offs in 2026 Interim Reports

Listed banks in China have released their 2026 interim reports, with several lenders stepping up non-performing loan (NPL) write-offs in the first half of the year. Liu Jun, president of Industrial and Commercial Bank of China (ICBC), said at the bank's interim results conference that ICBC allocated RMB 81.9 billion in write-off resources for NPL disposal in the first half of 2026. China Construction Bank disclosed write-offs of RMB 31.993 billion, while Bank of China reported write-offs and transfers of approximately RMB 42.638 billion.

Among joint-stock and city commercial banks, Huaxia Bank wrote off about RMB 20.403 billion in bad debts, an increase of RMB 3.633 billion, or 21.66%, year on year. Ping An Bank wrote off RMB 10.699 billion in loans, and Bank of Jiangsu wrote off and transferred out approximately RMB 11.972 billion.

Earlier, Bank of Beijing's 2025 annual report, released in early 2026, showed a decline in profit, which the bank attributed to strict impairment provisions on various assets, with credit impairment losses increasing by RMB 5.147 billion year on year.