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China’s smaller banks emerge as star performers

While China boasts many of the world’s biggest banks by Tier 1 capital, a deeper dive into performance metrics shows that it is often the country’s smaller banks that perform better. Kimberley Long reports.
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The Best-performing Banks ranking for China has yielded an important insight into the state of the country’s financial sector: while Chinese institutions once again dominate The Banker’s Top 1000 World Banks list by Tier 1 capital, it is some of the country’s smaller banks, further down the table, that are showing the highest growth rates, operational efficiency and quality of assets. 

Applying the methodology over a larger sample size significantly changes our perception of many a bank's status. While China Minsheng Bank was ranked as the best-performing bank in China’s top 10 banks by Tier 1 capital, a very different picture begins to emerge when the methodology is extended to cover the top 100 Chinese banks. 

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Kimberley Long is the Asia editor at The Banker. She joined from Euromoney, where she spent four years as transaction services editor. She has a BA in English Language and Literature from the University of Liverpool, and an MA in Print Journalism from the University of Sheffield. Between degrees she spent a year teaching English in Japan as part of the JET Programme.
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