On March 31, Minsheng Bank held its 2025 performance exchange meeting. Regarding the net interest margin, Vice President and Board Secretary Li Bin stated that the bank's net interest margin for 2025 increased by 1 basis point year-on-year, showing signs of stabilization and improvement. She analyzed the performance from the following aspects:

First, the deposit structure has been further optimized. In implementing its strategy in recent years, Minsheng Bank has consistently focused on its customers, continuously improving products and services. By prioritizing key businesses such as payroll services and wealth management, the bank effectively increased the proportion of current deposits. At the same time, it proactively strengthened the management of medium- and long-term deposits, continuously optimizing the deposit term structure. As a result, the bank's deposit interest rate decreased by 40 basis points for the full year.

Second, the bank meticulously managed interbank funding costs. On one hand, it enhanced comprehensive operations with interbank clients, broadening sources of interbank funds. On the other hand, it conducted forward-looking market analysis based on liquidity conditions, flexibly controlling the pace of fund absorption and optimizing the structure of terms and products. Throughout the year, interbank funding costs saw a notable decline.

Third, the bank continued to adjust and optimize its asset structure. While supporting customer financing needs, the proportion of general loans in total assets reached 55%, an increase of 0.9 percentage points compared to the previous year. Additionally, the bank implemented scientific management of lower-yielding assets to enhance asset operation efficiency. These efforts in structural optimization and refined management ultimately contributed to the stabilization and improvement of the net interest margin.

Looking ahead to the net interest margin trend for the current year, Li Bin commented, "Looking forward to 2026, the banking sector's net interest margin faces both challenges and supportive factors. Challenges mainly stem from loan repricing and structural changes, which may lead to some downward pressure on lending rates. At the same time, deposit competition remains intense, leaving limited room for further reductions in deposit costs. Favorable factors include economic and industrial transformation, along with coordinated policy efforts, which present opportunities for the banking sector's development." She outlined the following specific measures:

First, the bank will continue to prioritize reducing liability costs by deepening operations across all customer groups, scenarios, and links—focusing on accounts, transaction volume, and synergy. It will also manage the rollover of maturing deposits, strengthen self-discipline, further optimize the liability structure, and lower liability costs. Second, the bank will intensify credit deployment efforts and continue to increase the proportion of general loans. Concurrently, it will enhance the application of risk-based pricing to improve risk pricing capabilities.

"In summary, for 2026, we will remain committed to strengthening our foundation in core customers, products, and services, alongside refined management, aiming to keep the interest margin stable. On the basis of balancing volume and pricing, we will support the growth of net interest income. We will also place greater emphasis on intermediary business to further increase the contribution of net interest income and promote steady and improving operating revenue," Li Bin concluded.