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China's commercial banks' net profits to grow 7.1% in 2018

Xinhua | Updated: 2018-12-17 13:39
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China's commercial banks will continue to see improvements in profitability in 2019. [Photo/VCG]

BEIJING - China's commercial banks will post sound performance in 2018, with their combined net profits likely to grow 7.1 percent year-on-year, the Bank of Communications forecast.

The lenders' combined net profits may reach the highest level since 2015, according to a report released by the bank.

The report predicted that the commercial banks will continue to see improvements in profitability in 2019, and their combined profits may rise between 5 percent and 8 percent compared with this year.

The banks' non-performing loan ratio is expected to remain below 1.9 percent this year and stay under 2 percent in 2019, according to the report.

It said as the country stepped up opening up in the financial services sector, an increasing number of overseas financial institutions and investors will tap into the market, and there will also be more domestic financial institutions going out.

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