On July 24, Agricultural Development Bank of China held its 2020 mid-year work conference online to review the work in the first half of the year and make arrangements for the next stage of work. 

It was reckoned at the conference that in face of the COVID-19 outbreak, ADBC fully implemented the policies and requirements of the CPC Central Committee and the State Council, made comprehensive deployments and mobilized all personnel and resources to secure a decisive victory in the prevention and control of the epidemic. At the same time, ADBC made coordinated efforts to advance poverty alleviation, worked relentlessly to serve the national goal of ensuring stability on six fronts (employment, financial operations, foreign trade, foreign investment, domestic investment, and expectations) and maintaining security in six areas (job, basic living needs, operations of market entities, food and energy security, stable industrial and supply chains, and the normal functioning of primary-level governments), and made all efforts to win the critical battle of preventing and defusing financial risks. The Bank registered stable performance in all areas with a good momentum for growth.

In the first half of the year, ADBC disbursed loans with a total value of RMB 1.0718 trillion, an increase of RMB 300.7 billion year-on-year. As of the end of June, total loan balance stood at RMB 6.0504 trillion, a net increase of RMB 459 billion over the beginning of the year. ADBC registered remarkable achievements in its poverty alleviation efforts, disbursing a total of RMB 288.1 billion poverty alleviation loans in the first half of the year, fulfilling the annual target ahead of schedule. ADBC fully served national food security and actively supported spring farming and farming preparations, with loans for multi-year procurement and loans for summer grain procurement both growing on a year-on-year basis. ADBC vigorously supported the integrated development of urban and rural areas by providing six types of infrastructure loans, with the total amount and net increase of water conservancy loans ranking top among all financial institutions. ADBC actively supported agricultural modernization, with its offline inclusive loans for small and micro businesses and production resumption loans for medium, small and micro-sized enterprises both exceeding the annual target. The net increase of loans for the pig industrial chain stood at RMB 26.8 billion, achieving 268% of the annual target. ADBC fully served regional development, providing RMB 136 billion and RMB 29.6 billion in loans respectively under the programs of Conservation of the Yangtze River and Ecological Protection of the Yellow River Basin in the first half of the year, both coming close to the whole-year target. The Bank’s asset quality further improved. As of the end of June, the Bank’s total assets were RMB 7.5159 trillion, an increase of RMB 410.1 billion over the beginning of the year, registering a 5.37% growth year-on-year. Non-performing loan ratio and provision coverage ratio was 0.5% and 706% respectively, seeing the Bank’s risk compensation capabilities further improved. 

The conference urged that in the second half of the year, ADBC should focus on the national goal of completing building a moderately prosperous society in all respects, improve weak links in agriculture-related areas, fight the three critical battles against potential risks, poverty, and pollution, make coordinated efforts to ensure stability on six fronts and maintain security in six areas, and complete various tasks with high quality.

First, go all out to serve the goal of poverty elimination. Give full play to the supervision mechanism that singles out the counties still retaining the poverty label, make the most of the differentiated support policies in deeply impoverished areas, lift all the impoverished counties out of poverty, consolidate poverty alleviation achievements, and steadily improve the quality and effectiveness of poverty alleviation efforts. Second, earnestly promote national food security. Provide credit support for policy-based and market-oriented procurement of grains, cotton and edible oil, promote grain production capabilities by improving land management and agricultural technology, and maintain stable production and supply of key agricultural products. Third, make consistent efforts to build rural infrastructure. Strive to fulfill the tasks assigned in the Government Work Report such as supporting new infrastructure, new urbanization initiatives and major projects. Build on the brand of “bank for water conservancy”, and vigorously support the integrated development of urban and rural areas. Fourth, promote the development of rural industries. Support the development of characteristic industries suited to local conditions, promote industrialized operation of agriculture and the integrated development of primary, secondary and tertiary industries, and increase support for projects to improve the weak links in rural industries such as the agricultural product logistics system. Fifth, support national strategies of promoting regional development. Conduct further research and improve the policy system, with emphasis on financial services for the implementation of national strategies of coordinated regional development, including the Conservation of the Yangtze River and the Ecological Protection of the Yellow River Basin.