Agricultural Bank Of China
The Agricultural Bank of China (ABC) is a Chinese state-owned commercial, retail and investment bank. ABC is one of the four largest state-owned commercial banks in China, the others being the Industrial and Commercial Bank of China (ICBC), the Bank of China (BOC) and the China Construction Bank. ABC was established in 1951 as the Peoples Bank of Agriculture and Forestry and was initially a part of the Ministry of Finance. In 1979, the State Council redesignated it as the Agricultural Bank of China, and it was made a separate legal entity in 1983.
ABC is the largest financial service provider in rural China, and its approximately 26,000 branches across the country provide a wide range of financial services, including retail banking, corporate banking, investment banking, insurance and asset management. ABC has approximately 1.5 million employees serving more than 300 million customers in China, with a network that consists of the main branch in Beijing which serves as the banks headquarters, 30 provincial branches, and 22 international branches in 16 countries.
ABC has been focusing on increasing its rural presence through its Rural Financial Services Program, which launched in 2001 as a way to develop rural credit markets in China. This program has been very successful in helping ABC to extend its reach for providing credit to small scale lenders in rural areas, especially farmers and agricultural body banks.
ABC also plays an important role in Chinas banking sector by providing a wide range of financial services to small and medium-sized enterprises (SMEs), which are the backbone of the countrys economy. ABC continues to improve its SME financing offerings, focusing on comprehensive risk management and the establishment of loan guarantee funds. In addition, ABC has established the Rural Credit Cooperatives (RCCs) in order to ensure that rural areas have access to credit, especially for agricultural-related activities.
In 2011, ABC was the first of the four large commercial banks to begin trading abroad, with a listing in Hong Kong. The listing was widely anticipated, making ABC the second largest initial public offering in 2011, raising $22 billion. It is estimated that around 20 million investors bought shares in the bank, which listed in Hong Kong and Shanghai.
In the same year, ABC launched its first international branch in Singapore which provides financing to companies in China, Southeast Asia, and India. ABC also began providing services for overseas customers that were interested in Chinese risk management and investment banking services.
Since carrying out its initial public offering, ABC has had substantial foreign investments from regional and international investors, such as BlackRock, Fidelity, Allianz Global Investors, Sands Capital, and China Investment Corporation. These investments have helped ABC to establish itself more firmly in the international banking sector, enabling the bank to be more competitive and to expand its global presence.
ABC has made significant progress in the past decade in modernizing its systems and improving service delivery and efficiency. Additionally, ABC has introduced several innovative services such as mobile banking, internet banking, and debit and credit cards, as well as internet-based products and services. In addition, ABC has adopted several new technologies such as cloud computing and big data to enhance its service offerings.
ABC continues to focus on building a more sustainable financial system in China by providing more efficient, secure, and accessible services to its customers. ABC is committed to serving the interests of the Chinese people and the healthy development of the Chinese financial system.
