BEIJING - The recently released 2024 annual reports of China's listed banks highlight the diverse dynamics of China's economic development, as banks, serving as the primary channels for corporate and household financing, in their capital underscore the economy's growth momentum.

Key sectors in focus: tech firms attracting major capital

Data from annual reports indicate that over the past year, listed banks have continued to expand credit issuance to support the real economy. In 2024, China's four major state-owned banks, which include Industrial and Commercial Bank of China (ICBC), Agricultural Bank of China (ABC), Bank of China (BOC), and China Construction Bank (CCB), collectively issued more than 8 trillion yuan ($1.11 trillion) in new loans.

ICBC and ABC each saw loan increases exceeding 2 trillion yuan.

Strategic national initiatives and key industries remained top priorities for credit allocation, the reports showed, and banks reported notable growth in loans directed toward manufacturing, strategic emerging industries, and elderly care services.

By the end of 2024, ICBC's outstanding loans to strategic emerging industries had exceeded 3.1 trillion yuan, while BOC's lending to these industries had grown by 26.31 percent year-on-year.

CCB's loans to the manufacturing sector totaled 3.04 trillion yuan, and the medium-to-long-term loans to the manufacturing industry by ABC saw a 20.2-percent year-on-year increase.

Technology-driven enterprises also gained traction. CCB's loans to science and technology-related industries topped 3.5 trillion yuan by the end of 2024, while ICBC's loans to small and medium-sized enterprises (SMEs) that are specialized, refined, distinctive and innovative rose over 54 percent from the start of the year. China Everbright Bank also reported a 42.1-percent year-on-year increase in loans to tech firms.

Behind the figures, banks have been accelerating the establishment of financial mechanisms that align with technological innovation. ICBC has set up 25 regional technology finance centers nationwide, ABC expanded its network of tech-focused branches to nearly 300, and BOC launched a dedicated science and technology innovation fund.

However, many SMEs in the tech field still face financing challenges. At their earnings briefings, multiple banks pledged to deepen integrated equity-loan-bond-insurance financial services and tailor products to meet diverse innovation needs.