Takeaways from Lujiazui Forum

Research evidence excerpt

Takeaways from Lujiazui Forum

Equity Research

17 June 2026 | 11:31PM HKT

CHINA FINANCIAL SERVICES

On June 17th, heads of major financial regulatory bodies, including NFRA, PBOC, Shuo Yang, Ph.D.

+852-2978-0701 | shuo.yang@gs.com

CSRC, and SAFE, delivered speeches at the Lujiazui Forum. We summarize the key Goldman Sachs (Asia) L.L.C.

takeaways and their implications for our covered companies as follows: Claire Ouyang

+852-2978-6686 |

claire.x.ouyang@gs.com

n For the banking sector, a structural shift in financing towards direct financing, Goldman Sachs (Asia) L.L.C.

coupled with a deceleration in loan growth prioritizing quality over quantity, is

emerging as the new normal. Newly introduced policies, such as the narrowing of

interest rate corridors and the provision of liquidity support to non-bank

financial institutions under specific circumstances, are poised to stabilize

short-term interest rates and reduce bond market liquidity risks. These measures

are expected to help banks stabilize interbank liability costs and investment

income, thereby enhancing their balance sheet resilience. For stock selection, we

reiterate our Buy ratings on 1) CCB and BOC for their larger and stronger balance

sheets, and 2) BONB, underpinned by its high-quality growth (see here) and its

position as a primary beneficiary of these new policies, particularly given its

higher proportion of interbank liabilities and trading account assets.

n Turning to the capital markets, the latest policy signals indicate that

supply-side tools in the capital market will be expanded at an accelerated pace,

while regulatory constraints will be further tightened. For brokers, the core

implication is that incremental opportunities will become concentrated among