THE EXPORT-IMPORT BANK OF CHINA...Bank made special efforts to support the export of products...

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Chairman & President’s Message

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2011

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5334 4787

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The year 2011 was the first year in the 12th Five-Year Plan period and marked the 10th

anniversary of China’s accession to the World Trade Organization. Although world economic growth

slowed down and global trade registered a slower increase, the Chinese economy maintained a

steady and relatively fast development, demonstrating a vibrant momentum and huge potential.

Last year, the Export-Import Bank of China followed the guidance of the Scientific Outlook

on Development and conducted its businesses innovatively, achieving a host of new results, new

breakthroughs and new progresses. Total approved on-balance-sheet lending was RMB533.4

billion, and total disbursement was RMB478.7 billion. At year end, the outstanding of on-balance-

sheet lending stood at RMB927.5 billion and off-balance-sheet on-lending at USD24.2 billion.

The Bank’s assets totaled RMB1364.5 billion. While facing more profound implications of the

international financial crisis and growing risks, the Bank continued to manage a decrease of both

the amount and the ratio of non-performing loans, keeping its asset quality at a high level. The

Bank’s international credit ratings remained consistent to China’s sovereign ratings.

Serving a stable and relatively fast economic development

Implementing the state policy to stabilize growth, adjust structure and promote balance, the

Bank made special efforts to support the export of products featuring proprietary brand, proprietary

intellectual property rights and core technologies. In addition, the Bank provided more loans to

the import of high-tech equipments, key components and parts, energy and resources, and basic

agricultural produces. Efforts were also made to facilitate the development of strategic emerging

industries such as next-generation information technology, biology and new energy, therefore

promoting the readjustment and optimization of China’s industrial structure. Under the backdrop

of increasing challenges in shipping financing, the Bank, as the main channel to finance the export

of ships built in China, increased its support to the industry, especially to the export of ships and

offshore engineering equipment with high technologies and high added value. Llyod’s List, the

world renowned shipping journal, considered the Bank a critical source of funds for shipbuilders

and shipping companies in the future.

Serving economic growth in developing countries

In order to fulfill China’s foreign aid commitments, the Bank worked hard to advocate its

package loan cooperation model and increased its support to the socio-economic development

in developing countries in face of the international financial crisis. Hence, the Bank played a

positive role in promoting common development, sharing growth and creating a harmonious world.

To strengthen international economic cooperation, the Bank invited the International Finance

Corporation (IFC) to join the China-ASEAN Investment Cooperation Fund to support infrastructure

constructions in ASEAN countries.

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Serving companies to “go global”

In line with the increasingly globalized Chinese economy, the Bank seized opportunities

offered by global economic readjustment to support Chinese companies to invest overseas and

facilitate domestic products, services, brands and standards to “go global”. The Bank actively

supported agricultural cooperation with foreign countries and provided easy-to-access loans for

the export of agricultural machinery and technologies. While offering more loans, the Bank also

provided a series of services such as risk alert and advices for companies to guard against risks in

their overseas investment and operation. These helped Chinese businesses to be more competitive

internationally.

Serving the real economy and regional economies

To fully play the role that the financial sector has in serving national strategies, the Bank

constantly innovates its products and expands its services. By giving priority to supporting

some competitive cultural companies and brands, the Bank helped to take outstanding cultural

products and services to the rest of the world. Various financing models suited to small and

micro businesses were introduced, effectively overcoming their difficulties in obtaining financing

and guarantee. Efforts were made to improve the service quality for the rural areas, farmers and

agricultural development and a number of leading agricultural companies were thus developed.

Tailored measures were adopted to promote coordinated regional development. Branches were

set up to support development of frontier regions, west coast of the Taiwan Straits and Tianjin

Binhai New Area.

The post-crisis world economy remains a complexity with profound contradictions and

problems, which are difficult to completely tackle in the near term. China’s development philosophy

and model have stood the test of the crisis and offered hope for the vast number of developing

countries. Gaining increasing influence, emerging economies and developing countries including

China have become an important force to maintain international financial stability and promote

world economic readjustment. With gradual progress in domestic economic transformation and

in global economic cooperation, China is becoming a new driving force for the world economy to

maintain a robust, sustainable and balanced growth. And with accelerated integration of China

into the world, its significance to the world economy has been increasing. China will definitely

play a bigger role in the global economy.

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“The tide is low, the waterway is wide and the wind blows heavily; it is high time to sail ahead

into a new journey.” China is still promised with important strategic opportunities for development.

Only by seizing and making good use of these opportunities, dealing well challenges brought by

the international financial crisis and resolving complex problems can the country gain initiative and

advantage in development. In face of its mission and responsibilities, the Export-Import Bank of

China will continue tackling tough issues with a firm conviction, strive to make new contribution

to the stable and relatively fast economic development and to social harmony and stability, and

celebrate the upcoming 18th National Congress of the Communist Party of China with outstanding

performances.

Li RuoguChairman & President

The Export-Import Bank of China

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Board of Supervisors

Mr. Ding Zhongchi

Chairman of Board of Supervisors of China Eximbank

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In accordance with The Provisional Regulation on the Board of Supervisors of the Key State-

Owned Financial Institutions, Board of Supervisors of the Export-Import Bank of China is appointed

by and reports to the State Council. Consisting of a chairman, several full-time supervisors and

member staff, Board of Supervisors exercises supervision on management, operation, and financial

performance of the Bank pursuant to the Regulation.

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Top Executives

Li Ruogu

Chairman & President of China Eximbank

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Zhu HongjieVice President

Sun PingVice President

Li JunVice President

Gong JieSecretary of DisciplineCommittee

Liu LiangeVice President

Yuan XingyongAssistant President

Zhu XinqiangVice President

Dai ChunningAssistant President

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Organizational Chart

Board of Directors Board of Supervisors

Chairman & President

Departments at Head Office

Executive Office

Human Resources Dept.

Supervision Office

Economic Research Dept.

Business Development & Innovation Dept.

Corporate Business Dept.

Transport Financing Dept.

Special Account Financing Dept.

Concessional Loan Dept.

On-lending Dept.

Planning & Financial Management Dept.

Treasury Dept.

Risk Management Dept.

Internal Control & Compliance Dept.

Auditing Dept.

Accounting Dept.

Legal Affairs Dept.

International Business Dept.

Information & Technology Dept.

Software Development Dept.

Party & League Affairs Dept.

Workers Union

Administration Dept.

Retired Personnel Service Dept.

Party School

Overseas Institutions Management Dept.

Evaluation Dept.

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Strategy Committee

Financial Review Committee

Auditing & Supervising Committee

Project Evaluation Committee

Risk Management & Internal Control Committee

Assets & Liabilities Management Committee

Business Development & Innovation Committee

Information & Technology Committee

Business Branches Representative Offices

Beijing Branch

Shanghai Branch

Shenzhen Branch

Jiangsu Branch

Dalian Branch

Chengdu Branch

Qingdao Branch

Zhejiang Branch

Hunan Branch

Chongqing Branch

Shaanxi Branch

Hubei Branch

Heilongjiang Branch

Guangdong Branch

Yunnan Branch

Ningbo Branch

Fujian Branch

Anhui Branch

Xinjiang Branch

Xiamen Branch

Tianjin Branch

Rep. Office for Southern and Eastern Africa

Paris Rep. Office

St. Petersburg Rep. Office

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Business Scope

Export credit and import credit;

Loans for offshore contracts and overseas investment;

Chinese Government Concessional Loan;

International guarantee;

On-lending of loans from foreign governments and international financial institutions;

International and domestic settlement services and corporate deposit services under loan

facilities;

Fund raising at domestic and overseas capital and money markets;

International inter-bank loan services; organizing or participating in international and

domestic syndication loan;

Renminbi inter-bank borrowing & lending and bond repo;

Foreign exchange dealings on the bank’s own account and commissioned foreign exchange

dealings for clients as approved;

Credit record investigation, consultation, evaluation and witness services relevant to the

Bank’s business;

Other businesses approved or entrusted.

We look forward to establishing extensive contact and expanding cooperation with friends in

financial, economic and trade sectors both at home and abroad.

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Operational Highlights

2011

2011

2011 4978.03

4787.42 6.24

13644.90 10798.52

The year 2011 was the first year of the 12th Five-Year Plan period. It was also the

year in which the Export-Import Bank of China achieved new results, new breakthroughs and

new progresses in its transformation and development. Adhering to the theme of “scientific

development and the transformation of economic growth model”, the Bank was innovative in its

work and successful in coordinating scale, quality and returns, making due contribution to the

stable and relatively fast economic development in China and to China’s international economic

cooperation.

In 2011, the Bank’s business scale continued to grow steadily. The total amount of loans

signed reached RMB497.803 billion, with disbursement standing at RMB478.742 billion. New

on-lending loan agreements were signed with a total contract value of USD624 million. The year-

end on-balance-sheet and off-balance-sheet assets was RMB1364.49 billion and loan balance

registered RMB1079.852 billion. While strictly implementing state macro-control policies, the

Bank provided more support to the fruits borne in China’s attempt to address the international

financial crisis.

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Export Credit

Export Seller’s Credit

1624.87 1694.92 3477.53

474.46

In 2011, the newly signed export seller ’s credit amounted to RMB162.487 billion

with disbursement adding up to RMB169.492 billion. The year-end outstanding registered

RMB347.753 billion, an increase of RMB47.446 billion over the previous year.

2007 20092008 20112010

1239.44 1300.40

1730.85 1694.92

1442.21

1800

1350

900

450

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Growth of Actual Disbursement of Export Seller’s Credit

Unit: RMB100 million

EquipmentShipHigh- and New-Tech ProductsGeneral Mechanical and Electronic ProductsOverseas Construction ContractsOverseas Investment ProjectsAgricultural ProductsOthers

30.14%

23.94%2.50%

4.78% 9.80%

12.85%

6.96%

9.03%

Actual Disbursement ofExport Seller’s Credit by Sector

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Export Buyer’s Credit

224.61 439.01 131.33

112.72 1269.23 289.68

In 2011, the newly signed export buyer’s credit amounted to RMB22.461 billion with

disbursement of RMB43.901 billion, a decrease of RMB13.133 billion and an increase of

RMB11.272 billion respectively. The year-end outstanding registered RMB126.923 billion, an

increase of RMB28.968 billion over the previous year.

500

300

400

200

100

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Growth of Actual Disbursement of Export Buyer’s Credit


182.71173.91

294.53326.30

439.01

2007 20092008 20112010

Import Credit

1063.03 1180.05 2092.1

395.26

In 2011, the Bank signed import credit agreements worth RMB106.303 billion, with

disbursement of RMB118.005 billion. The year-end outstanding registered RMB209.21 billion,

an increase of RMB39.526 billion over the previous year.

2007 20092008 20112010

Growth of Actual Disbursementof Import Credit

1200

900

600

300

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392.48

1156.25

965.08 984.69

1180.05


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Concessional Loan and Preferential Export Buyer’s Credit

2011

As the only bank implementing Chinese Government Concessional Loan and Preferential Export

Buyer’s Credit, the Bank continued to reinforce its support to the developing world in 2011, making

contribution to the strategic partnership between China and other developing nations, which is

based on mutual trust, reciprocity and common development.

The Bank made efforts to fulfill the Chinese Government’s new Concessional Loan commitments

to members of the Shanghai Cooperation Organization and ASEAN, and to countries and regions

of South Asia, South Pacific, Caribbean and Africa. In addition, the Bank facilitated the signing of

loan agreements of key overseas projects, helped other developing countries to improve their self-

reliant development capacity and domestic investment environment, accelerated their economic

growth, and raised the living standard of local people.

On-lending Loans from Foreign Governments and International Financial Institutions

2011 36 6.24 262.2

54 74 47

2011 1

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5.13%

6.62%

85.81%

2.44%

Outstanding of Foreign Governmentand International FinancialInstitution Loans by Country

Japanese Government Loan

German Government Loan

Other Countries

International Financial Institutions

In 2011, 36 new on-lending agreements were signed with a total contract value of

USD624 million. The year-end loan balance totaled USD26.22 billion. Throughout the year,

54 projects on energy saving, emission reduction and new energies were supported by on-lent

loans, with a total approved amount of RMB7.4 billion and the year-end balance of RMB4.7

billion. The Bank remained a leading on-lender.

According to the government’s guideline to make wise and effective use of foreign

funds, the Bank supported priority projects in infrastructure, medical care, education and

environmental protection, playing a positive role in improving people’s livelihood and promoting

socio-economic development in central and western China. It made active efforts to implement

energy-saving and emission reduction policies by on-lending preferential loans from international

financial institutions. In addition, the Bank developed its green credit facility for energy saving,

emission reduction and new energy projects. In 2011, the Bank on-lent the World Bank’s energy

efficiency loans (phase III) totaling USD100 million. As a result, it expanded its target industry

from cement and iron and steel to the construction sector. It facilitated the energy efficiency

and renewable energy loan under the China-Germany fiscal cooperation framework to support

the biomass-thermal power-chemical industrial chain. It for the first time brought the energy

management contract (EMC) mode into energy saving projects. It also continued to expand areas

supported by China-US sovereign guaranteed loans.

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At present, the Bank has on-lent loans provided by 23 foreign governments and 6

international financial institutions, including Japan, Germany, Israel, the Netherlands, Austria,

Spain, France, Portugal, Italy, Sweden, Poland, Australia, Norway, Finland, Denmark, Kuwait,

Korea, Saudi Arabia, Switzerland, Luxembourg, Canada, United Kingdom, Belgium, the World

Bank, the Asian Development Bank, the Nordic Investment Bank, the Nordic Development

Fund, the European Investment Bank and the US Exim Bank. Projects covered are located in

36 provinces, autonomous regions, municipalities and cities specifically designated in the state

plan.

Outstanding of Foreign Governmentand International FinancialInstitution Loans by Sector

Urban Construction

Power

Industry

Transportation

Agriculture & Forestry

Environmental Treatment

Education

Medical & Health Care

Energy Efficiency and Emission Reduction & New Energy

Others

28.34%

7.88%

6.51%

17.32%5.62%

19.97%

4.99%

4.84%2.12%

2.41%

Trade Finance

2011 854.33

34.36%

In 2011 the Bank conducted a large number of international settlement, letter of guarantee

and trade financing transactions in a total worth of USD85.433 billion, up by 34.36% from the

previous year. These transactions covered a wide range of fields such as shipping, communications,

manufacturing, textile, automobiles, machinery, household electrical appliances, agricultural

produces, etc. All of the Bank’s loan facilities have been supported by these transactions. The Bank

also ensured its support for the development of small and medium-sized enterprises by offering

supply chain financing instruments, such as factoring. In addition, the Bank developed products

such as RMB cross-border trade letter of credit, bank guarantees and trade financing transactions

to promote the internationalization of RMB.

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Letter of Guarantee

101.88 239.49

In 2011, the Bank issued letters of guarantee with a total value of USD10.188 billion. The

year-end outstanding was USD23.949 billion. As an important business of the Bank, letters of

guarantee played a key role in supporting Chinese companies to go global and participate in

economic and technological cooperation. This business has firmly tightened China’s international

economic and trade ties, including the export of new-and high-tech products, mechanical and

electronic products, complete sets of equipment, capital goods, offshore contracts and overseas

investments.

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Growth of Letters of Guarantee 102.06 101.88

66.92

79.97

97.00

Unit: USD100 million

2007 20092008 20112010

International Settlement

625.68 74.97

29.95% 175.55 24.42%

Throughout the year, the Bank carried out international settlement transactions (including the

sales and purchases of foreign exchange) worth of USD62.568 billion. The Bank altogether handled

letters of credit worth USD7.497 billion, up by 29.95% over the previous year; sales and purchases

of foreign exchange amounted to USD17.555 billion, an increase of 24.42% year-on-year.

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Growth of International Settlement


479.30

625.68

380.64348.88

208.48

2007 20092008 20112010

Trade Financing

2011 126.77

132.78%

In 2011, trade financing business maintained a strong momentum. Throughout the year, the

Bank dealt with trade financing transactions worth USD12.677 billion, up by 132.78% year-on-

year. In addition to traditional trade financing products such as export bill purchase, discount of

export commercial invoice, packing loan, inward bill advance, delivery against bank guarantee,

import refinance, outward remittance finance, insurance finance, great progress was made in

high-end trade financing products, such as domestic factoring, domestic enterprise refinancing,

international dual factoring, forfeiting, single export factoring, interbank refinancing, etc. Altogether,

the Bank has set up a trade financing system which provides clients with comprehensive and

multi-facet services.

126.77

54.46

38.40

13.933.89

150

120

90

60

30

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Growth of Trade Financing Transactions


2007 20092008 20112010

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Capital Market Business

Fund Raising

2011 23

3950

2011

10 7

In 2011, the Bank intensified its fund raising business and launched 23 issues of RMB

financial bonds in domestic inter-bank market, totaling RMB395 billion.

In face of constant changes of market conditions and expectations, the Bank laid great

emphasis on macroeconomic research and market trend analysis, kept close contact with

institutional investors, and designed sound plans and schedules to issue bonds. Based on market

conditions, the Bank developed a wide range of products to meet various investment needs,

including short and medium term fixed rate bonds, and medium and long term floating rate bonds

with maturity ranging from 10 months to 7 years. Meanwhile, the Bank followed a sound schedule

and selected reasonable timing to ensure successful issuances. The rates of a number of the Bank’s

bonds appear to be the lowest in their respective category.

Fund Operation and Management

2011

2011

2011 212.5

In 2011, confronted with the volatile financial market, the Bank made unrelenting efforts to

reinforce its risk management system, and flexibly employed different products to provide clients

with satisfying services. At the same time, the Bank strived to become a more learned market

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analyst and a stronger dealer. While ensuring liquidity and safety of the Bank, it proactively

seized opportunities brought by market fluctuations to expand self-run fund transactions, raise the

efficiency of operations and maximize the return on assets.

In 2011, the Bank made huge efforts to expand the range of fund operations for its clients.

For example, it developed RMB interest rate swap business, and completed the first transaction

in China to lock in the Central Bank’s benchmark interest rate for loans so that the clients were

protected against interest rate risks. Throughout the year, the Bank provided services for over

one hundred clients on debt swap and foreign exchange deals, and on consultation of market

information and product design.

In 2011, the Bank expanded its share in the bond underwriting market, issuing a total

of RMB21.25 billion of debt financing instruments for company clients. In undertaking these

transactions, the Bank carefully analyzed the needs of issuers and market conditions, designed

rational issuance plans, put forward new products and effectively helped companies to optimize

their debt structure and reduce their financial cost, thereby winning clients’ recognition. While

providing comprehensive follow-up services for the issuers, the Bank also strengthened risk control

as required by regulation authorities. Hence, risks were effectively controlled while its businesses

registered a rapid growth.

International Credit Rating

Aa3 AA-

A+

Currently, the Bank is rated by three major international rating agencies, namely Moody’s,

Standard & Poor’s and Fitch. Moody’s rating of the Bank is Aa3 with positive outlook. Standard &

Poor’s rating of the Bank is AA- with stable outlook. Besides, The Bank has a rating of A+ with

stable outlook from Fitch. All these ratings are consistent to China’s sovereign ratings.

Moody’s Investors ServiceAa3 Aa3

Fitch RatingsA+ A+

China’s Sovereign Ratings

Standard & Poor’sAA- AA-

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Business Innovation

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Bearing in mind the outline of the 12th Five-Year Plan and its strategic transformation goals,

the Bank made great effort to explore the market, continuously enrich and improve its products

and services, push forward down-to-earth innovations, and developed new financial instruments

based on the situations of real economy.

Vigorously supporting the cultural industry

In 2007, the Bank was the first financial institution in China to sign cooperation agreements

with the Ministry of Culture and other relevant authorities. Since then, it has supported a number

of competitive export-oriented cultural companies and renowned cultural brands. The key projects

in 2011 include the International Intangible Cultural Heritage Park and Changchun Movie

Wonderland, which effectively intensified the international influence of the Chinese culture.

Actively promoting the development of small and micro businesses

At a time when small and micro businesses ran into difficulties in their development, the

Bank did not shrink its loans, raise loan threshold or demand more guarantees. Rather, it took

the initiative to provide its support and services. The Bank organized a conference on “loans to

small and micro business” in which relevant plans and a work mechanism were formed. Though

restricted by scale of new loans, the Bank innovatively put forward a number of financing schemes

that suited small businesses.

Increasing support to rural development, agriculture and farmers, as well as to poverty reduction

The Bank supported the business of a number of leading agricultural companies, such as the

New Hope Group and Angel Yeast. By doing so, it played a positive role to expand the export of

competitive agricultural produces and improve the competitiveness of the agriculture sector in the

international market. In order to reduce poverty through financial support, the Bank launched a

batch of poverty reduction projects, such as Tourism Development project in Sichuan and Cotton

Processing project in Xinjiang. It also increased support to Minxian County, Guansu Province. Thus

the Angelica project, a pilot poverty-reduction project in Minxian, achieved desired results. Among

all the banks that work together with the State Council Poverty Alleviation Leading Group Office,

the Export-Import Bank of China has supported the biggest number of projects, with the largest

amount of funds and the most outstanding results.

Making special efforts to promote coordinated regional development

The Bank came up with a guideline to help build Yunnan Province into a gateway in China’s

opening up to the Southwest. Projects such as the Shiming Industrial Park were therefore

supported. It also gave stronger support to key companies such as China First Heavy Industries and

FAW Car and key constructions such as Dandong Port, Yingkou Port and China-Russia Border Trade

Zone so as to promote the rejuvenation of the old industrial bases in northeast China. The Bank

supported Shanghai’s effort to become an international financial and shipping centre by providing

RMB6 billion to the Shanghai International Port (Group) for industry consolidations. Three new

branches were set up in Xinjiang, Xiamen and Tianjin respectively to support the development of

border area, west coast of the Taiwan Straits and Tianjin Binhai New Area. In addition, the Bank

approved loans for the construction of Taiwan agricultural parks in Fujian and Chongqing, thereby

contributing to Cross-Straits exchanges.

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Major Projects

LNGExport of LNG Carriers, Hudong-Zhonghua Shipbuilding (Group)

2011 6

4.4

4 17.2

LNG

LNG

LNG

In June 2011, the Hudong-Zhonghua Shipbuilding (Group) sold four 172,000m3 LNG

carriers to Mitusi OSK Lines and China Shipping Development Co. Ltd. The Bank, as a joint

lead bank, engaged in a USD440 million loan to back this transaction.

This was the first ever export of LNG carriers made in China, which shall strengthen the

design and building capability of Chinese shipbuilders in this field, and enhance the market

recognition and competitiveness of Chinese LNG carriers.

Global Logistic Properties Park Lingang

2011

10

In 2011, the Bank approved a RMB1 billion loan to Shanghai Lingang GLP International

Logistics Development Co. Ltd. This loan helped the company to invite foreign direct investments

for the construction of Global Logistic Properties Park Lingang.

This project will add to the insufficient warehouse logistics facility in Shanghai, bring in

advanced model and experience concerning warehouse logistics facility development, and raise

the level of China’s logistics industry.

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Export Credit, Beiqi Foton Motor Co., Ltd.

2011

5

In 2011, the Bank disbursed

RMB500 million worth of mechanical

and electronic product export seller’s loan to Beiqi Foton Motor Co., Ltd. A strategic cooperation

agreement was also signed between the two parties.

The cooperation aimed to give all-round support to Beiqi’s export of products, and help

it to go global.

Export and Import Credit, Xiangtan Electric Manufacturing Co., Ltd.

2011

3.4

In 2011, the Bank provided

RMB340 million worth of export and import credit to Xiangtan Electric Manufacturing Co., Ltd.

By using this loan, the company could import key equipment parts and components, expand

its overseas market share, and produce key equipments in higher quality.

This project played a positive role as to support the company to go global, help it effectively

use both domestic and international resources and explore both markets, as well as achieve

the company’s strategic transformation goal.

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Major Projects

Oriental Industrial Park, Ethiopia

2011

(SDPRP)

In 2011, the Bank approved an overseas investment loan to Jiangsu Qiyuan Group. This

loan is used for the construction of Oriental Industrial Park Phase I in Ethiopia, an overseas

economic and trade cooperation zone.

The Park is seen as a part of the Sustainable Development and Poverty Reduction Program

(SDPRP) of the Ethiopian Government, and one of the most important project in the plan of

its industrial development.

The Baha Mar Resorts Project

2011

8500

In 2011, the construction of the

Baha Mar Resorts Project officially

started. This project is supported by

the loan from the Bank.

The project is estimated to create over 8,500 jobs and bring about tremendous economic

and social returns for the Bahamas.

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The Import of Large-scale Equipments for the Rescue of Railway Accidents

2011

In 2011, the Bank facilitated the

Promotion Loan of Germany to assist

the Ministry of Railways of China to

purchase large-scale equipments for the rescue of railway accidents.

The import of the equipments will greatly improve the capability to clear barriers and

rescue injuries at accident scenes.

36The Reconstruction of 36kms of Road in Kigali, Rwanda

2011

36

In 2011, the Bank approved

a Consessional Loan facility for the

reconstruction of 36kms of road in

Kigali, Rwanda.

The reconstruction shall better the local infrastructure, attract more investments, and

consequently promote the socio-economic development of the city.

36

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Risk Management

2011

0.64%

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In 2011, the Bank continued to work on the build-up of a comprehensive risk management

mechanism. Non-performing loans continued to decline and the year-end NPL ratio was 0.64%.

First, the Bank intensified the prevention and control of country risks. An emergency response

mechanism was launched immediately after disturbances occurred in North Africa and the Middle

East. A leading group was set up to formulate risk prevention and control schemes. Country risk

alerts were announced in a timely manner and risk reviews were conducted. As a result, no NPL

was caused by major country risk events.

Second, the Bank strengthened its post-loan management. The management of project archives

was strengthened under unified and standard regulations. The repayment process of medium and

long term loans was adjusted to allow stricter control of risks related to local government financing

vehicles. On-site inspection was intensified, covering basically all overseas projects.

Third, the Bank strengthened dynamic monitoring, analysis and warning of loan quality

problems. In order to nip risks in the bud, the five-level classification scheme was strengthened

and more attention was given to monitoring “normal” and “warning” projects and projects to mature

before year-end. Various risk reviews were conducted and efforts were made to properly handle

emergency risks and actively avoid NPL.

Fourth, the Bank found various approaches to strengthen risk management and control.

Special attention was given to the setup and implementation of risk management regulations. As

a result, unified and standard regulations and business process mechanisms were established.

Management of operational risks was highlighted with the launch of an on-line operational risk

monitoring and reporting system and the compilation of selected cases. Continued efforts were

made to strengthen anti-money laundering to guard against such cases. Off-site and on-site audit

were combined to look for weak links in operations and management. Relevant rectification

measures were intensified. A legal risk prevention and control mechanism was gradually established

and is playing a bigger role in supporting business development and ensuring risk mitigation.

38

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IT Development

2011

Sametime

Oracle

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In 2011, the Bank made all-round efforts on IT development, unveiling a new chapter for

its IT development agenda in the 12th Five-Year Plan period.

First, steady progress was made in deploying the New Generation Business System. This

includes launching an on-line banking system and developing specific IT plans for overseas

branches. Focusing on the Bank’s business priorities and requirements of regulation authorities,

the Bank optimized the functionality of each IT system, raised its business and management

efficiency, and strengthened its risk prevention to avoid breaches. In addition, the Bank

developed a new maintenance system for its New Generation Business System, making it better

prepared for emergencies.

Second, efforts were made to develop IT application systems and renovate the existing IT

infrastructure. A number of new IT application systems were installed, laying solid groundwork

for improving workplace efficiency and service quality. These include a platform for virtual

access to the business system, an instant communication system codenamed “Sametime”,

queuing devices and a teller service grading system. A platform was built up to combine the

operation monitoring system and the Oracle database system, thus operation and maintenance

was made automatic and standardized. Renovation efforts also covered IT infrastructures of the

data center, external access machines, the disaster recovery fiber switch, and the teleconference

equipments. As a result, the existing IT infrastructure was better functioned and application

systems more safe and stable.

Third, improvements were made in information security and management of technologies.

Information security at the time of major events was guaranteed. And constant checkups were

also done on information systems at all levels and business networks. Rehearsals were arranged

to respond to IT contingency cases. Scanning of computer loopholes and monitoring of intrusions

were more frequently deployed. Computer safety software was used so that more scientific

report can be filed before any application system goes into use. Comprehensive analysis on

IT needs was carried out. Budget plans were strictly followed. All these uplifted the Bank’s IT

management quality.

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Human Resource Management

2011

In 2011, the Bank continued with the reform of its human resource management mechanism.

Intensive efforts were made in developing competent professionals and improving its existing

remuneration and benefits scheme. All these have secured sufficient human resource support for

the Bank’s sustainable growth.

First, the Bank continued to reform its human resource scheme. A number of measures

were taken in this field, including optimizing competitive employment procedures, fine-tuning

performance evaluation, standardizing human resource management regulations, and expanding

personnel exchange programs.

Second, the Bank highlighted the importance of its human resource base. More specialized

training programs were set up. These programs not only eye on the work competency and

international vision of old staff, but also are designed for new recruits. The aim is to put in place

a team of professionals, including generalists, specialists and pragmatists with advanced skills.

Third, the Bank worked hard to improve its remuneration and benefits scheme. Performance

evaluation was done following an indicator chart that is drawn from the basics of the Bank, making

it comprehensive, objective, fair and just. In addition, a separate department for the service of

retired personnel was set up to provide better services to the retirees.

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2011Staff Categorized by Age, Educational and Professional Background

Number of Staff

(%)

Percentage (%)

Age

30 Under 30 (inclusive) 799 42.25

31–35 31-35 432 22.85

36–40 36-40 245 12.96

41–45 41-45 179 9.47

46–50 46-50 135 7.14

51–55 51-55 47 2.49

56 Over 56 (inclusive) 54 2.84

Overall 1891 100

Educational

Background

Doctoral Degree 44 2.33

MA/MSc Degree 904 47.81

BA/BSc Degree 888 46.95

Associate Degree and Lower 55 2.91

Overall 1891 100

Professional

Background

Senior Title 169 8.94

Intermediate Title 403 21.31

Primary Title 233 12.32

Overall 805 42.57

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International Cooperation

2011

In 2011, the Bank continued to strengthen its international cooperation, actively implemented

the open-up strategy based on mutual benefit and reciprocity, and effectively reinforced its

international influences.

International Exchanges

High-Ranking Meetings

2011

260

In 2011, the Bank’s top executives participated in major events hosted by state leaders in

honor of high-ranking foreign heads-of-state, and met with distinguished foreign guests on over 260

occasions, including President of Zimbabwe, President of Benin, President of Guinea, President of

Mozambique, President of Uzbekistan, Vice President of Seychelles, Prime Minister of Pakistan,

Prime Minister of Ethiopia, Prime Minister of Ukraine, First Deputy Prime Minister of Uzbekistan,

Deputy Prime Minster of Tonga, Deputy Prime Minster of Qatar. On these occasions, the Bank

signed a number of loan agreements with relevant foreign government ministries, contributing its

part to promoting China’s economic diplomacy.

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Highlights in Foreign Affairs

2011

2011 4 2011

Attended the 2011 Boao Forum for Asia Annual Conference

In April 2011, Mr. Li Ruogu, Chairman and President of the Bank, attended the 2011 Boao

Forum for Asia Annual Conference. During the conference, Mr. Li participated in the sub-forum

of “The Asian Model to Avoid Middle-Income Trap” and addressed a speech named “The Asian

Route to Steer off Middle-Income Trap”.

2011 5

Attended the Meeting at the Permanent Court of Arbitration, The Hague

In May 2011, invited by the Permanent Court of Arbitration, Mr. Li Ruogu attended the

meeting of the Advisory Group on Dispute Resolution and Sovereign Debt, which was held in the

Peace Palace, The Hague. In the meeting, he addressed a speech entitled “To Establish a Sovereign

Debt Dispute Resolution System that Eyes on Development”.

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2011 9

700

Attended the Third China-Caribbean Economic and Trade Cooperation Forum

In September 2011, the Third China-Caribbean Economic and Trade Cooperation Forum was

held in Port of Spain, Trinidad and Tobacco. Seven hundred government officials of China and

Caribbean countries and business representatives attended the forum. Mr. Wang Qishan, Vice

Premier of China graced the opening ceremony and delivered a speech. Mr. Li Ruogu participated

in the meeting for entrepreneurs, and gave a speech on “China-Caribbean Cooperation, Positive

Interaction in Common Development”.

Cooperation with Other Financial Institutions

2011

2011 (IFC)

BES

In 2011, the Bank continued to strengthen its contacts with overseas multilateral financial

institutions. Under the backdrop of global financial crisis, the Bank joined hands with them

to provide financial support for south-south cooperation. The Bank’s top executives attended

the annual meetings of major multilateral institutions, including the World Bank, the Asian

Development Bank, the African Development Bank, the Inter-American Development Bank and

the Caribbean Development Bank, as well as the shareholders meeting, board meeting and audit

committee meeting of the African Export-Import Bank.

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In 2011, the Bank and the International Finance Corporation (IFC) made breakthroughs under

the framework of the China-ASEAN Fund for Investment Cooperation and in the Vodafone Project

in Ghana. The two institutions signed the Master Agreement on Trading Financial Derivatives in

the Inter-bank Market of China. In addition, the Bank and the Inter-American Development Bank

signed the MOU on Establishing an Investment Fund with Commitments Denominated in RMB

and USD, Letter of Intent concerning Exploration of Opportunities to Establish an Infrastructure

Investment Mechanism, and Co-lending Agreement on Trade Finance Facility, and developed

personnel exchanges. Moreover, the Bank signed bilateral cooperation agreements with BES Bank

of Portugal, China Hua Xia Bank, ANZ Bank of Australia, China Bohai Bank, China Guangfa Bank

and JSC Bank of Kiev of Ukraine.

Correspondent Banking Network

2011 1250

158

In 2011, the Bank continued to expand and consolidate its correspondent banking network.

By the end of 2011, the Bank had established correspondent banking relations with 1,250 banks

in 158 countries and regions.

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Social Responsibility

In 2011, the Bank continued to actively fulfill its social responsibility commitments, with

support rendered to public welfare programs such as poverty reduction and education. In order to

benefit farmers and enrich rural areas, the Bank worked jointly with officials and people of poverty-

stricken counties. By leveraging local advantages and making innovative efforts, the Bank helped to

reduce local poverty, bring about local prosperity and develop the local economy in a sound, steady

and robust way. Moreover, the Bank continued to move along with the “Philharmonic Heritage

Program”, a public welfare program dedicated to music education for the younger generation.

Poverty reduction

2011

3800

500

3 100

3.8

The Bank helped industry-leading companies in poverty-stricken areas to become more

competitive globally by providing financial supports. For instance, in 2011, the Bank gave RMB5

million working capital loan to Kangda Pharmaceutical, an angelica pharmaceutical company in

Minxian County, Gansu Province. This loan was an addition to a previous RMB38 million facility.

The Bank also helped to bring in renowned companies such as Zhongxin Pharmaceutical and

Tongrentang (TRT) to be external investors.

Moreover, the Bank organized study tours every year for township and village officials and

agronomists from Minxian County to visit Shouguang, Xi’an and Yang Lin to learn advanced

planting techniques. These study tours helped Minxian to upgrade the structure of its agricultural

industry. As of now, the county has acquired the greenhouse farming techniques to plant seasonal

vegetables, which has generated favorable returns.

The Bank also made donations of 30,000 books and 100 computers to Qinxu Township

Central Primary School and Nanchuan School, both located in Minxian. A total of RMB38 thousand

was donated by the Bank’s employees for poverty-stricken school children.

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Public music education

2011

In 2011, the Bank continued to join hands with the “Philharmonic Heritage Program” and

staged a nationwide concert tour with the theme of “The Light of Rejuvenation-Celebrating the

100th Birthday of the Xinhai Revolution”. The events spanned across Macao, Taipei, Shanghai,

Nanjing, Wuhan and Beijing. This concert tour was successful in passing down the spirit of the

Xinhai Revolution and bringing closer artistic and emotional links of the mainland, Taiwan and

Macao.

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Auditor’s Report

XYZH/2011A9035

2011 12 31

2011

(1)

(2)

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2011 12 31 2011

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Auditor’s Report

XYZH/2011A9035

The Export-Import Bank of China:

We have audited the accompanying consolidated financial statements of the Export-Import

Bank of China (‘the Bank’), which comprise the consolidated balance sheet and consolidated

statement of changes in owners’ equity as at 31 December 2011, and the consolidated income

statement, the consolidated cash flow statement for the year then ended 2011, and the notes to

the consolidated financial statements.

Management’s Responsibility for the Consolidated Financial Statements

The Bank’s management is responsible for the preparation and fair presentation of these

consolidated financial statements. This responsibility includes: (1) preparing these consolidated

financial statements in accordance with Accounting Standards for Business Enterprises issued by

the Ministry of Finance of the People’s Republic of China, and fairly presenting them; (2) designing,

implementing and maintaining internal control which is necessary to enable that the consolidated

financial statements are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on these consolidated financial statements based

on our audit. We conducted our audit in accordance with China’s Auditing Standards for the

Certified Public Accountants. Those standards require that we comply with ethical requirements

and plan and perform the audit to obtain reasonable assurance whether the consolidated financial

statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts

and disclosures in the consolidated financial statements. The procedures selected depend on

the auditor’s judgment, including the assessment of the risks of material misstatement of the

consolidated financial statements, whether due to fraud or error. In making those risk assessments,

the auditor considers internal control relevant to the Bank’s preparation and fair presentation of the

consolidated financial statements in order to design audit procedures that are appropriate in the

circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Bank’s

internal control. An audit also includes evaluating the appropriateness of accounting policies used

and the reasonableness of accounting estimates made by management, as well as evaluating the

overall presentation of the consolidated financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide

a basis for our audit opinion.

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Opinion

In our opinion, the consolidated financial statements present fairly, in all material respects,

the consolidated financial position of the Bank as at 31 December 2011, and the consolidated

financial performance and the consolidated cash flows of the Bank for the year then ended 2011,

in accordance with the requirements of the Accounting Standards for Business Enterprises issued

by the Ministry of Finance of the People’s Republic of China.

ShineWing Certified Public Accountants Chinese Certified

Public Accountants

Chinese Certified

Public Accountants

Beijing China 10th April 2012

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Financial Statements

2011 12 31 2010 12 31 2011 12 31 2010 12 31

834,221.51 535,666.02 782,915.11 510,406.30

9,152,171.62 5,731,842.91 9,152,171.62 5,731,842.91

147,769,378.88 102,025,922.42 147,769,378.88 102,025,922.42

20,529,656.47 10,014,540.00 20,529,656.47 10,014,540.00

1,072,680.44 391,085.44 1,072,680.44 391,085.45

25,956,474.20 8,930,000.00 25,956,474.20 8,930,000.00

16,785,297.86 7,962,907.07 16,785,297.86 7,962,907.07

6,088,782.68 3,200,242.76 6,088,782.68 3,200,242.76

732,674.21 483,711.52 724,547.29 472,964.55

914,301,463.23 707,563,372.91 915,283,833.16 707,876,291.10

23,874,700.06 16,344,868.43 23,874,700.06 16,344,868.43

21,340,233.66 16,496,353.08 21,340,233.66 16,496,353.08

6,016,623.90 3,951,942.09 5,804,360.20 3,682,672.05

58,858.96 58,858.96

1,968,740.31 1,305,434.93 1,237,729.45 1,299,752.82

1,061,285.07 740,103.81 1,061,285.07 740,103.81

36.46 50.87 36.46 50.87

30,258.34 17,744.11 30,039.42 17,744.11

36,294.92 40,719.48 36,294.92 40,719.48

27,913.22 24,942.31 27,913.22 24,942.31

1,331,908.89 1,225,471.82 1,331,888.87 1,225,471.82

87,070.14 90,282.67 87,070.14 90,282.67

1,199,056,725.04 887,077,204.64 1,199,036,148.14 887,079,163.99

55

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2011 12 31 2010 12 31 2011 12 31 2010 12 31

206,623,217.08 196,495,984.58 206,623,217.08 196,495,984.58

25,890,190.70 10,993,400.12 25,890,190.70 10,993,400.12

459,679.55 183,113.20 459,679.55 183,113.20

3,474,533.52 8,059,261.06 3,474,533.52 8,059,261.06

57,706,458.56 55,235,467.22 57,706,458.56 55,235,467.22

1,160.00 1,160.00

1,395,114.99 458,140.02 1,392,054.75 458,078.55

1,631,197.73 1,611,065.44 1,631,197.73 1,611,065.44

1,516,850.48 1,527,814.48 1,508,702.06 1,513,955.83

1,357,238.92 1,129,372.64 1,357,238.92 1,129,372.64

866,187,462.33 583,682,207.46 866,187,462.33 583,682,207.46

270,635.19 97,966.77 270,635.19 97,771.36

16,410,328.16 14,756,220.76 16,410,328.16 14,756,220.76

1,182,924,067.22 874,230,013.75 1,182,912,858.56 874,215,898.22

5,000,000.00 5,000,000.00 5,000,000.00 5,000,000.00

5,000,000.00 5,000,000.00 5,000,000.00 5,000,000.00

18,758.44 -131,700.78 18,758.44 -131,700.78

1,259,380.21 948,423.75 1,259,380.21 948,423.75

6,089,487.23 3,571,173.63 6,089,487.23 3,571,173.63

3,750,502.93 3,455,911.00 3,755,663.70 3,475,369.17

586.48 -21.96

16,118,715.29 12,843,785.64 16,123,289.58 12,863,265.77

13,942.53 3,405.25

16,132,657.82 12,847,190.90 16,123,289.58 12,863,265.77

1,199,056,725.04 887,077,204.64 1,199,036,148.14 887,079,163.99

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Balance Sheet

In thousands of RMB

Item

Consolidated Statement Bank’s Statement

2011.12.31 2010.12.31 2011.12.31 2010.12.31

Assets:

Cash and Due from Banks 834,221.51 535,666.02 782,915.11 510,406.30

Balances with Central Bank 9,152,171.62 5,731,842.91 9,152,171.62 5,731,842.91

Precious Metals

Due from Correspondent Banks

Placements with Banks and Other Financial Institutions

147,769,378.88 102,025,922.42 147,769,378.88 102,025,922.42

Interbank Lendings 20,529,656.47 10,014,540.00 20,529,656.47 10,014,540.00

Trading Financial Assets

Derivative Financial Assets 1,072,680.44 391,085.44 1,072,680.44 391,085.45

Securities Purchased under Resale Agreements

25,956,474.20 8,930,000.00 25,956,474.20 8,930,000.00

Accounts Receivables 16,785,297.86 7,962,907.07 16,785,297.86 7,962,907.07

Accrued Interest 6,088,782.68 3,200,242.76 6,088,782.68 3,200,242.76

Other Receivables 732,674.21 483,711.52 724,547.29 472,964.55

Loans and Advances 914,301,463.23 707,563,372.91 915,283,833.16 707,876,291.10

Available for Sale Financial Assets 23,874,700.06 16,344,868.43 23,874,700.06 16,344,868.43

Held to Maturity Investments 21,340,233.66 16,496,353.08 21,340,233.66 16,496,353.08

Long-term Equity Investments 6,016,623.90 3,951,942.09 5,804,360.20 3,682,672.05

Investment Property 58,858.96 58,858.96

Fixed Assets 1,968,740.31 1,305,434.93 1,237,729.45 1,299,752.82

Construction in Progress 1,061,285.07 740,103.81 1,061,285.07 740,103.81

Disposal of Fixed Assets 36.46 50.87 36.46 50.87

Intangible Assets 30,258.34 17,744.11 30,039.42 17,744.11

Goodwill

Long-term Deferred Expense 36,294.92 40,719.48 36,294.92 40,719.48

Mortgage Assets 27,913.22 24,942.31 27,913.22 24,942.31

Deferred Income Tax Assets 1,331,908.89 1,225,471.82 1,331,888.87 1,225,471.82

Other Assets 87,070.14 90,282.67 87,070.14 90,282.67

Total Assets 1,199,056,725.04 887,077,204.64 1,199,036,148.14 887,079,163.99

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Item

Consolidated Statement Bank’s Statement

2011.12.31 2010.12.31 2011.12.31 2010.12.31

Liabilities:

Borrowing from Central Bank

Due to Correspondent Banks

Due to Banks and Other Financial Institution

206,623,217.08 196,495,984.58 206,623,217.08 196,495,984.58

Interbank Borrowings 25,890,190.70 10,993,400.12 25,890,190.70 10,993,400.12

Trading Financial Liabilities

Derivative Financial Liabilities 459,679.55 183,113.20 459,679.55 183,113.20

Securities Sold under Repurchase Agreement

3,474,533.52 8,059,261.06 3,474,533.52 8,059,261.06

Due to Customers 57,706,458.56 55,235,467.22 57,706,458.56 55,235,467.22

Employee Pay Payable 1,160.00 1,160.00

Tax Payable 1,395,114.99 458,140.02 1,392,054.75 458,078.55

Interest Payable 1,631,197.73 1,611,065.44 1,631,197.73 1,611,065.44

Other Account Payable 1,516,850.48 1,527,814.48 1,508,702.06 1,513,955.83

Estimated Liabilities 1,357,238.92 1,129,372.64 1,357,238.92 1,129,372.64

Bonds Payable 866,187,462.33 583,682,207.46 866,187,462.33 583,682,207.46

Deferred Tax Liabilities 270,635.19 97,966.77 270,635.19 97,771.36

Other Liabilities 16,410,328.16 14,756,220.76 16,410,328.16 14,756,220.76

Total Liabilities 1,182,924,067.22 874,230,013.75 1,182,912,858.56 874,215,898.22

Owner’s Equity

Paid-in Capital (Capital Stock) 5,000,000.00 5,000,000.00 5,000,000.00 5,000,000.00

Stated-owned Capital 5,000,000.00 5,000,000.00 5,000,000.00 5,000,000.00

Collective Capital

Legal Person’s Capital

Stated-owned Legal Person’s Capital

Individual Capital

Foreign Capital

Capital Reserve 18,758.44 -131,700.78 18,758.44 -131,700.78

Less: Treasury Stock

Surplus Reserve 1,259,380.21 948,423.75 1,259,380.21 948,423.75

General Risk Reserve 6,089,487.23 3,571,173.63 6,089,487.23 3,571,173.63

Undistributed Profit 3,750,502.93 3,455,911.00 3,755,663.70 3,475,369.17

Currency Translation Difference 586.48 -21.96

Total Equity Attributable to Parent 16,118,715.29 12,843,785.64 16,123,289.58 12,863,265.77

Minority Interests 13,942.53 3,405.25

Total Owner’s Equity 16,132,657.82 12,847,190.90 16,123,289.58 12,863,265.77

Total Liabilities and Owner’s Equity 1,199,056,725.04 887,077,204.64 1,199,036,148.14 887,079,163.99

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2011 2010 2011 2010

10,653,742.98 7,677,716.76 10,600,971.17 7,674,571.97

10,435,488.41 6,006,159.74 10,435,483.84 6,006,153.92

40,484,530.47 26,040,350.88 40,484,525.90 26,040,345.06

30,049,042.06 20,034,191.14 30,049,042.06 20,034,191.14

3,199,334.97 2,214,127.36 3,134,625.37 2,187,225.56

3,356,829.09 2,259,620.68 3,292,119.48 2,232,718.88

157,494.11 45,493.32 157,494.11 45,493.32

–1,021,847.50 670,961.71 1,032,991.90 694,760.88

–422,675.72 225,602.88 422,675.72 225,602.88

-4,425,603.63 -1,439,134.93 -4,424,805.67 -1,439,171.27

–-4,446,091.98 -1,447,683.68 -4,445,294.01 -1,447,720.03

20,488.35 8,548.75 20,488.35 8,548.76

6,811,963.08 4,026,417.19 6,782,176.43 4,008,621.10

2,135,369.62 1,435,355.18 2,135,369.62 1,435,355.18

1,493,826.70 1,216,483.17 1,457,114.98 1,198,687.07

3,182,591.47 1,374,578.84 3,189,516.54 1,374,578.84

175.29 0.00 175.29 0.00

– 3,841,779.90 3,651,299.57 3,818,794.74 3,665,950.87

420,917.46 297,774.50 416,697.60 297,774.50

7,855.90 11,262.83 7,855.90 11,262.83

– 4,254,841.46 3,937,811.24 4,227,636.44 3,952,462.55

1,120,017.84 1,134,216.83 1,118,071.85 1,133,955.47

– 3,134,823.62 2,803,594.41 3,109,564.58 2,818,507.08

3,123,861.98 2,800,164.32 3,109,564.58 2,818,507.08

10,961.64 3,430.09

150,643.30 -145,346.16 150,459.22 -145,293.61

3,285,466.92 2,658,248.25 3,260,023.81 2,673,213.47

3,274,929.65 2,654,848.75 3,260,023.81 2,673,213.47

10,537.27 3,399.50

59

Financial Statem

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LR

EPOR

T 2011

Income Statement

In thousands of RMB

Item

Consolidated Statements Bank’s Statement

2011 2010 2011 2010

I. Operating Income 10,653,742.98 7,677,716.76 10,600,971.17 7,674,571.97

1. Net Interest Income 10,435,488.41 6,006,159.74 10,435,483.84 6,006,153.92

Interest Income 40,484,530.47 26,040,350.88 40,484,525.90 26,040,345.06

Interest Expense 30,049,042.06 20,034,191.14 30,049,042.06 20,034,191.14

2. Net Fee and Commission Income 3,199,334.97 2,214,127.36 3,134,625.37 2,187,225.56

Fee and Commission Income 3,356,829.09 2,259,620.68 3,292,119.48 2,232,718.88

Fee and Commission Expense 157,494.11 45,493.32 157,494.11 45,493.32

3. Investment Profit/Losses (“–” Losses)

1,021,847.50 670,961.71 1,032,991.90 694,760.88

4. Profit/Losses From Fair Value Changes (“–” for Losses)

422,675.72 225,602.88 422,675.72 225,602.88

5. Other Income -4,425,603.63 -1,439,134.93 -4,424,805.67 -1,439,171.27

Foreign Exchange Gain (“–” Losses)

-4,446,091.98 -1,447,683.68 -4,445,294.01 -1,447,720.03

Other Business Income 20,488.35 8,548.75 20,488.35 8,548.76

II. Operating Expenses 6,811,963.08 4,026,417.19 6,782,176.43 4,008,621.10

1. Business Tax and Affixation 2,135,369.62 1,435,355.18 2,135,369.62 1,435,355.18

2. General and Administrative Expenses

1,493,826.70 1,216,483.17 1,457,114.98 1,198,687.07

3. Impairment Losses on Assets 3,182,591.47 1,374,578.84 3,189,516.54 1,374,578.84

4. Other Business Cost 175.29 0.00 175.29 0.00

III. Operating Profit 3,841,779.90 3,651,299.57 3,818,794.74 3,665,950.87

Add: Non-operating Revenue 420,917.46 297,774.50 416,697.60 297,774.50

Less: Non-operating Expenses 7,855.90 11,262.83 7,855.90 11,262.83

IV. Profit Before Income Tax 4,254,841.46 3,937,811.24 4,227,636.44 3,952,462.55

Less: Income Tax Expenses 1,120,017.84 1,134,216.83 1,118,071.85 1,133,955.47

V. Net Profit (“–” for Losses) 3,134,823.62 2,803,594.41 3,109,564.58 2,818,507.08

Net Profit Attributable to Owners of Parent Company

3,123,861.98 2,800,164.32 3,109,564.58 2,818,507.08

Minority Interests 10,961.64 3,430.09

VI. Earning Per Share

1. Basic Earnings Per Share

2. Diluted Earnings Per Share

VII.Other Comprehensive Income 150,643.30 -145,346.16 150,459.22 -145,293.61

VIII.Total Comprehensive Income 3,285,466.92 2,658,248.25 3,260,023.81 2,673,213.47

1. Total Comprehensive Income Attributable to Owners of Parent Company

3,274,929.65 2,654,848.75 3,260,023.81 2,673,213.47

2. Total Comprehensive Income Attributable to Minority Shareholders

10,537.27 3,399.50

60

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2011 2010 2011 2010

23,648,205.58 6,712,470.64 23,648,205.58 6,712,470.64

15,406,478.70 92,624.09 15,406,478.70 92,624.09

41,479,070.39 27,458,116.20 41,479,065.81 27,458,110.38

8,138,013.14 9,954,411.87 8,072,982.71 9,916,757.96

88,671,767.80 44,217,622.79 88,606,732.80 44,179,963.07

233,740,613.12 128,281,950.59 234,416,989.92 128,574,384.18

30,821,400.00 9,033,626.73 30,821,400.00 9,033,626.73

4,455,557.09 3,394,363.56 4,455,557.09 3,394,363.56

549,220.00 418,510.34 525,988.93 407,953.63

2,331,323.06 2,641,049.02 2,329,046.86 2,641,049.02

7,910,954.50 8,092,791.44 7,888,075.70 8,087,313.69

279,809,067.77 151,862,291.70 280,437,058.51 152,138,690.82

-191,137,299.97 -107,644,668.91 -191,830,325.71 -107,958,727.74

157,306,831.97 133,370,743.30 157,306,831.97 133,370,743.30

938,034.68 624,559.76 938,034.68 624,559.76

7,249.60

158,252,116.25 133,995,303.06 158,244,866.65 133,995,303.06

177,798,001.14 140,756,165.98 177,123,772.47 140,463,070.19

409,173.55 569,973.35 408,776.49 562,879.87

8,207.51

178,207,174.69 141,334,346.84 177,532,548.96 141,025,950.06

-19,955,058.44 -7,339,043.78 -19,287,682.31 -7,030,647.00

61

Financial Statem

entsA

NN

UA

LR

EPOR

T 2011

2011 2010 2011 2010

401,730,000.00 187,540,000.00 401,730,000.00 187,540,000.00

401,730,000.00 187,540,000.00 401,730,000.00 187,540,000.00

124,200,000.00 92,179,450.06 124,200,000.00 92,179,450.06

19,781,392.55 14,672,872.61 19,781,392.55 14,672,872.61

20.09

143,981,412.64 106,852,322.68 143,981,392.55 106,852,322.68

257,748,587.36 80,687,677.32 257,748,607.45 80,687,677.32

-472,606.51 -936,921.54 -473,023.68 -936,921.54

46,183,622.44 -35,232,956.89 46,157,575.76 -35,238,618.96

33,023,100.23 68,256,057.13 32,997,840.52 68,236,459.47

79,206,722.67 33,023,100.23 79,155,416.27 32,997,840.52

62

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Cash Flow StatementIn thousands of RMB

ItemConsolidated Statements Bank’s Statement

2011 2010 2011 2010

I. Cash Flow From Operating Activities:

Net Increases in Due to Customers and Balances with Banks

23,648,205.58 6,712,470.64 23,648,205.58 6,712,470.64

Net Increase in Due to Central Bank

Net Increase in Placements with Other Financial Institutions

15,406,478.70 92,624.09 15,406,478.70 92,624.09

Net Increase in Fee and Commission Income

41,479,070.39 27,458,116.20 41,479,065.81 27,458,110.38

Other Cash Inflows from Operating Activities

8,138,013.14 9,954,411.87 8,072,982.71 9,916,757.96

Cash Inflows from Operating Activities

88,671,767.80 44,217,622.79 88,606,732.80 44,179,963.07

Net Increase in Loans and Advances to Customers

233,740,613.12 128,281,950.59 234,416,989.92 128,574,384.18

Net Increase in Balances with Central Bank and Banks

30,821,400.00 9,033,626.73 30,821,400.00 9,033,626.73

Fee and Commission Paid 4,455,557.09 3,394,363.56 4,455,557.09 3,394,363.56

Payments to and for Employees 549,220.00 418,510.34 525,988.93 407,953.63

Tax and Fee Paid 2,331,323.06 2,641,049.02 2,329,046.86 2,641,049.02

Other Cash Outflows from Operating Activities

7,910,954.50 8,092,791.44 7,888,075.70 8,087,313.69

Cash Outflows from Operating Activities

279,809,067.77 151,862,291.70 280,437,058.51 152,138,690.82

Net Cash Flows from Operating Activities

-191,137,299.97 -107,644,668.91 -191,830,325.71 -107,958,727.74

II. Cash Flows from Investing Activities:

Cash Received from Disposal of Investment

157,306,831.97 133,370,743.30 157,306,831.97 133,370,743.30

Income received from Investment 938,034.68 624,559.76 938,034.68 624,559.76

Other Cash Inflows from Investing Activities

7,249.60

Cash Inflows from Investing Activities

158,252,116.25 133,995,303.06 158,244,866.65 133,995,303.06

Cash Outflows from Investment 177,798,001.14 140,756,165.98 177,123,772.47 140,463,070.19

Proceeds from Purchase and Construction of Fixed Assets, Intangible Assets and Other Long-term Assets

409,173.55 569,973.35 408,776.49 562,879.87

Other Cash Outflows from Investing Activities

8,207.51

Cash Outflows from Investing Activities

178,207,174.69 141,334,346.84 177,532,548.96 141,025,950.06

Net Cash Outflows from Investing Activities

-19,955,058.44 -7,339,043.78 -19,287,682.31 -7,030,647.00

63

Financial Statem

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LR

EPOR

T 2011

ItemConsolidated Statements Bank’s Statement

2011 2010 2011 2010

III. Cash Flows from Financing Activities:

Cash Received by Investors

Of which: Cash Received from Minority Investment in Subsidiaries

Cash Received from Issuance of Bonds

401,730,000.00 187,540,000.00 401,730,000.00 187,540,000.00

Other Cash Inflows from Financing Activities

Cash Inflows from Financing Activities

401,730,000.00 187,540,000.00 401,730,000.00 187,540,000.00

Repayments for Debts Issues 124,200,000.00 92,179,450.06 124,200,000.00 92,179,450.06

Cash Payments for Interest Expenses and Distribution of Dividends or Profit

19,781,392.55 14,672,872.61 19,781,392.55 14,672,872.61

Of which: Dividend Payments to Minority Equity Holders in Subsidiaries

Other Cash Outflows from Financing Activities

20.09

Cash Outflows from Financing Activities

143,981,412.64 106,852,322.68 143,981,392.55 106,852,322.68

Net Cash Outflows from Financing Activities

257,748,587.36 80,687,677.32 257,748,607.45 80,687,677.32

IV. Effect of Exchange Rate Changes on Cash and Cash Equivalents

-472,606.51 -936,921.54 -473,023.68 -936,921.54

V. Net Increase in Cash and Cash Equivalents

46,183,622.44 -35,232,956.89 46,157,575.76 -35,238,618.96

Add: cash and cash equivalents at beginning of year

33,023,100.23 68,256,057.13 32,997,840.52 68,236,459.47

VI. Cash and Cash Equivalents at End of Year

79,206,722.67 33,023,100.23 79,155,416.27 32,997,840.52

64

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2011

5,000,000.00 -131,700.78

5,000,000.00 -131,700.78

– 150,459.22

150,459.22

1 149,095.12

21,364.10

3

4

5

150,459.22

1

2

3

1

2

3

4

1

2

3

4

5

5,000,000.00 18,758.44

65

Financial Statem

entsA

NN

UA

LR

EPOR

T 2011

948,423.75 3,571,173.63 3,455,911.00 -21.96 3,405.25 12,847,190.90

948,423.75 3,571,173.63 3,455,911.00 -21.96 3,405.25 12,847,190.90

310,956.46 2,518,313.60 294,591.93 608.44 10,537.27 3,285,466.92

3,123,861.98 10,961.64 3,134,823.62

608.44 -424.36 150,643.30

149,095.12

1,364.10

608.44 -424.36 184.08

3,123,861.98 608.44 10,537.27 3,285,466.92

310,956.46 2,518,313.60 -2,829,270.06

310,956.46 -310,956.46

2,518,313.60 -2,518,313.60

1,259,380.21 6,089,487.23 3,750,502.93 586.48 13,942.53 16,132,657.82

66

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Consolidated Statement of Change in Shareholder’s EquityYear 2011

Item Paid-in Capital Capital Reserveless: Shares at

hand

I. Balance at the End of Year 2010 5,000,000.00 -131,700.78

Add: change in accounting policy

Corrections of Prior Period Errors

II. Balance at the Beginning of Year 2011 5,000,000.00 -131,700.78

III. Change Through Year 2011 (“–” for losses) 150,459.22

1. Net Profit

2. Other Revenue 150,459.22

(1).Profit from Financial Assets Available for Sale (Loss)

149,095.12

(2).Share of Other Comprehensive Revenue in the Invested Entity under the Equity Law

1,364.1

(3).Net Change in Fair Value of Cash Flow Hedging Instrument

(4).Converted difference in Foreign Currency

(5).Others

Total of 1 and 2 150,459.22

3. Capital Paid and Reduced by Owners

(1).Capital Paid in by Owners

(2).Amounts of Share-based Payments Recognized in Owners’ Equity

(3).Other

4. Dividends

(1).Appropriation of Statutory Surplus Reserves

(2).Appropriation to General Risk Provisions

(3).Dividends to Holders

(4).Other

5. Internal Carry-over of Shareholders’ Equity

(1).Capitalized Capital Reserves

(2).Capitalized Surplus Reserves

(3).Surplus Reserves for Making up Losses

(4). General Risk Provisions for Making up Losses

(5).Other

IV. Balance at the End of 2011 5,000,000.00 18,758.44

67

Financial Statem

entsA

NN

UA

LR

EPOR

T 2011

In thousands of RMB

Shareholder’s Equity Contributable to Parent CompanyMinority

Shareholders’Equity

Total Shareholders’

EquityStatutory ReserveGeneral

Risk ReserveUndistributed

Profit Others

948,423.75 3,571,173.63 3,455,911.00 -21.96 3,405.25 12,847,190.90

948,423.75 3,571,173.63 3,455,911.00 -21.96 3,405.25 12,847,190.90

310,956.46 2,518,313.60 294,591.93 608.44 10,537.27 3,285,466.92

3,123,861.98 10,961.64 3,134,823.62

608.44 -424.36 150,643.30

149,095.12

1,364.1

608.44 -424.36 184.08

3,123,861.98 608.44 10,537.27 3,285,466.92

310,956.46 2,518,313.60 -2,829,270.06

310,956.46 -310,956.46

2,518,313.60 -2,518,313.60

1,259,380.21 6,089,487.23 3,750,502.93 586.48 13,942.53 16,132,657.82

68

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2010

5,000,000.00 13,592.83

5,000,000.00 13,592.83

– -145,293.61

-145,293.61

1 -145,293.61

2

3

4

5

-145,293.61

1

2

3

1

2

3

4

1

2

3

4

5

5,000,000.00 -131,700.78

69

Financial Statem

entsA

NN

UA

LR

EPOR

T 2011

394,053.44 3,571,173.63 1,210,063.50 -0.00 10,188,883.40

272,519.60 -272,466.11 53.49

666,573.04 3,571,173.63 937,597.39 -0.00 10,188,936.89

281,850.71 2,518,313.61 -21.96 3,405.25 2,658,254.00

2,800,164.32 3,430.09 2,803,594.41

-21.96 -30.59 -145,346.16

-145,293.61

-21.96 -21.96

-30.59 -30.59

2,800,164.32 -21.96 3,399.50 2,658,248.25

5.75 5.75

5.75 5.75

281,850.71 -281,850.71

281,850.71 -281,850.71

948,423.75 3,571,173.63 3,455,911.00 -21.96 3,405.25 12,847,190.89

70

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Consolidated Statement of Change in Shareholder’s EquityYear 2010

Item Paid-in Capital Capital Reserveless: Shares at

hand

I. Balance at the End of Year 2009 5,000,000.00 13,592.83



II. Balance at the Beginning of Year 2010 5,000,000.00 13,592.83

III. Change Through Year 2010 (“–” for losses) -145,293.61

1. Net Profit

2. Other Revenue -145,293.61


-145,293.61




(5).Others

Total of 1 and 2 -145,293.61




(3).Other

4. Dividends




(4).Other






(5).Other

IV. Balance at the End of 2010 5,000,000.00 -131,700.78

71

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LR

EPOR

T 2011

In thousands of RMB

Shareholder’s Equity Contributable to Parent CompanyMinority

Shareholders’Equity

Total Shareholders’

EquityStatutory ReserveGeneral

Risk ReserveUndistributed

Profit Others

394,053.44 3,571,173.63 1,210,063.50 -0.00 10,188,883.40

272,519.60 -272,466.11 53.49

666,573.04 3,571,173.63 937,597.39 -0.00 10,188,936.89

281,850.71 2,518,313.61 -21.96 3,405.25 2,658,254.00

2,800,164.32 3,430.09 2,803,594.41

-21.96 -30.59 -145,346.16

-145,293.61

-21.96 -21.96

-30.59 -30.59

2,800,164.32 -21.96 3,399.50 2,658,248.25

5.75 5.75

5.75 5.75

281,850.71 -281,850.71

281,850.71 -281,850.71

948,423.75 3,571,173.63 3,455,911.00 -21.96 3,405.25 12,847,190.89

72

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2011

5,000,000.00 -131,700.78

5,000,000.00 -131,700.78

– 150,459.22

150,459.22

1 149,095.12

21,364.10

3

4

5

150,459.22

1

2

3

1

2

3

4

1

2

3

4

5

5,000,000.00 18,758.44

73

Financial Statem

entsA

NN

UA

LR

EPOR

T 2011

948,423.75 3,571,173.63 3,475,369.17 12,863,265.77

948,423.75 3,571,173.63 3,475,369.17 12,863,265.77

310,956.46 2,518,313.60 280,294.53 3,260,023.81

3,109,564.58 3,109,564.58

150,459.22

149,095.12

1,364.10

3,109,564.58 3,260,023.81

310,956.46 2,518,313.60 -2,829,270.06

310,956.46 -310,956.46

2,518,313.60 -2,518,313.60

1,259,380.21 6,089,487.23 3,755,663.70 16,123,289.58

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Changes for Owners’ Equity of the BankYear 2011

Item Paid-in Capital Capital Reserve Less: Shares at Hand

I. Balance at the End of Year 2010 5,000,000.00 -131,700.78



II. Balance at the Beginning of Year 2011 5,000,000.00 -131,700.78

III. Change Through Year 2011(“–” for losses) 150,459.22

1. Net Profit

2. Other Revenue 150,459.22


149,095.12


1,364.10



(5).Others

Total of 1 and 2 150,459.22


(1). Capital Paid in by Owners


(3).Other

4. Dividends




(4).Other






(5).Other

IV. Balance at the End of 2011 5,000,000.00 18,758.44

75

Financial Statem

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LR

EPOR

T 2011

In thousands of RMB

Statutory Reserve General Risk Provision Undistributed Profit Others Total Owners’ Equity

948,423.75 3,571,173.63 3,475,369.17 12,863,265.77

948,423.75 3,571,173.63 3,475,369.17 12,863,265.77

310,956.46 2,518,313.60 280,294.53 3,260,023.81

3,109,564.58 3,109,564.58

150,459.22

149,095.12

1,364.10

3,109,564.58 3,260,023.81

310,956.46 2,518,313.60 -2,829,270.06

310,956.46 -310,956.46

2,518,313.60 -2,518,313.60

1,259,380.21 6,089,487.23 3,755,663.70 16,123,289.58

76

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2010

5,000,000.00 13,592.83

5,000,000.00 13,592.83

– -145,293.61

-145,293.61

1 -145,293.61

2

3

4

5

-145,293.61

1

2

3

1

2

3

4

1

2

3

4

5

5,000,000.00 -131,700.78

77

Financial Statem

entsA

NN

UA

LR

EPOR

T 2011

394,053.44 3,571,173.63 1,211,178.90 10,189,998.81

272,519.60 -272,466.11 53.50

666,573.04 3,571,173.63 938,712.80 10,190,052.30

281,850.71 2,536,656.37 2,673,213.47

2,818,507.08 2,818,507.08

-145,293.61

-145,293.61

2,818,507.08 2,673,213.47

281,850.71 -281,850.71

281,850.71 -281,850.71

948,423.75 3,571,173.63 3,475,369.17 12,863,265.77

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Changes for Owners’ Equity of the BankYear 2010

Item Paid-in Capital Capital Reserve Less: Shares at Hand

I. Balance at the End of Year 2009 5,000,000.00 13,592.83



II. Balance at the Beginning of Year 2010 5,000,000.00 13,592.83

III. Change Through Year 2010 (“–” for losses) -145,293.61

1. Net Profit

2. Other Revenue -145,293.61


-145,293.61




(5).Others

Total of 1 and 2 -145,293.61




(3).Other

4. Dividends




(4).Other






(5).Other

IV. Balance at the End of 2010 5,000,000.00 -131,700.78

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Financial Statem

entsA

NN

UA

LR

EPOR

T 2011

In thousands of RMB

Statutory Reserve General Risk Provision Undistributed Profit Others Total Owners’ Equity

394,053.44 3,571,173.63 1,211,178.90 10,189,998.81

272,519.60 -272,466.11 53.50

666,573.04 3,571,173.63 938,712.80 10,190,052.30

281,850.71 2,536,656.37 2,673,213.47

2,818,507.08 2,818,507.08

-145,293.61

-145,293.61

2,818,507.08 2,673,213.47

281,850.71 -281,850.71

281,850.71 -281,850.71

948,423.75 3,571,173.63 3,475,369.17 12,863,265.77

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Notes to Financial Statements

2006 2 15

38

)

1.

2000 71

2.

3.

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2011

1.

1 1 12 31

2.

3.

4.

╱

5.

(1)

(2)

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6.

7.

(1)

a

b

c

d

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(2)

(3)

(4)

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a

2

0 – 6 6

6 – 1 1

1

0%

50%

100%

1% 2%

25% 50% 100%

b

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c

(5)

8.

9.

24

╱

10.

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11.

(1)

(2)

(3)

(4)

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12.

30-35 3% 2.77-3.23%

3-5 3% 19.40-32.33%

6 3% 16.17%

13.

14.

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15.

16.

(1)

(2)

(3)

(4)

(5)

17.

1 1

18.

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19.

20.

(1)

(2)

21.

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22.

(1)

(2)

(3)

23.

24.

(1)

╱

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(2)

(3)

25.

(1)

(2)

(1)

(2)

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26.

(1)

(2)

(3)

27.

28.

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29.

30.

(1)

(2)

8 22

(3)

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(4)

(5)

2008 1 1

2011

╱ ╱ ╱

5%

7%

3%

25%

2008 28 2004 996

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1.

3,550,783.39 1,842,849.68

2,253,576.81 1,839,822.37

5,804,360.20 3,682,672.05

5,804,360.20 3,682,672.05

2.

28.68% 145,000.00 72,500.00 217,500.00

22.88% 328,358.63 128,926.70 457,285.33

10.00% 238.83 48.93 287.76

2.43% 44,203.61 1,414.34 45,617.95

28.57% 1,324,540.00 4,560.00 1,329,100.00

12.58% 777,596.16 777,596.16

500.00 500.00

100.00% 8.61 0.42 8.19

100.00% 722,888.00 722,888.00

1,842,849.68 1,707,934.13 0.42 3,550,783.39

16.76% 274,474.53 274,474.53

43.27% 108,941.20 108,941.20

40.00% 324,286.50 324,286.50

32.89% 66,095.74 66,095.74

40.00% 811,533.76 26,649.80 838,183.56

50.00% 254,490.64 255,463.88 509,954.52

30.00% 905,438.73 905,438.73

1,839,822.37 1,187,552.41 773,797.96 2,253,576.81

3,682,672.05 2,895,486.53 773,798.38 5,804,360.20

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1.

2011 12 31

2.

2007 5

3.2775

75,000,000.00 2011 12 31 47,815,758

2012 5

2008 5

290,000,000.00 28.68% 2011 12 31

217,500,000.00 2013 6

2008 10

15 750,000,000.00 2011 12 31

500,000,000.00

2010 3 China-Asean Investment

Cooperation Fund, L.P.

3 2011 12 31 154,008,520.72

145,991,479.28

3.

150,935,117.00 149,542,627.12

20,051,801.24 7,247,652.92

4,213,397.40 5,116,009.05

351,283,544.27 332,222,309.17

526,483,859.90 494,128,598.26

4.

2011 12

31 26 482,408,342

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5.

710,000.00 820,000.00

710,000.00 820,000.00

2011-12-31

999,164

628,715

11,921,920

152,143,255

260,229

165,432,825

2011-12-31

1,010,952

164,291,241

165,302,193

2011-12-31

130,632

130,632

165,432,825

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I. The Basis of Financial StatementsThe financial statements of the Banks are based on the presumption of continuous operation.

the Bank’s financial statement has adopted the new Basic Standard and 38 specific standards

issued on Feb 15 2006, and Implementation Guidance, Interpretation and other regulations

(hereafter referred as ASBE) issued by the MOF.

After applying the ASBE, the following transactions and issues adopt special accounting policies

1. Onlending loans foreign governments

Onlending loans of foreign governments refer to sovereign loans borrowed from foreign

governments by Chinese Ministry of Finance in the name of Chinese Government. The Export-

Import Bank of China (the Bank) is entrusted to lend the loans to domestic borrowers and is

responsible for the drawing and payment of the loans, collection of the interests and expenses,and

repayment, etc.

The onlending projects could be classified into three types in accordance with different

repayment obligations:

Type One: The borrower is either a local provincial department of finance or a department of

the State Council, who is responsible for the loan repayment.

Type Two: The borrower is the company that implements the onlending project and bears the

responsibility of loan repayment. The local provincial department of finance or relevant department

of the State Council provides repayment guarantee for the project.

Type Three: The borrower is the company that implements the onlending project and bears the

responsibility of loan repayment. The local provincial department of finance or relevant department

of the State Council does not provide repayment guarantee for the project. The bank assesses the

project independently; onlends on the Bank’s own accord, bears the risks and acts as the final

repayment party.

To comply with Caizhai (2000) No.71 circular issued by the MOF, the projects of type three

are self-conducted loans and are accounted on the accrual basis in the financial statements, while

the projects of type one and type two are agency transactions and are accounted on the cash

basis off-balance sheet. Profit and loss from the projects of type one and type two are brought

forward monthly in the income statement as commission income, interests income and expenses

on onlending loans, and foreign exchange gains/losses on onlending loans. Accumulated net profit

or loss is presented as “entrusted onlending loans” under other current assets or other current

liabilities at the balance sheet date.

2. General provision

The general provision of the Bank is set aside for unidentified potential loss. The specific

withdrawing appropriation or amount is determined in accordance with the regulation of the regulator.

3. Retirement benefit obligations

To comply with the related regulation, the Bank accounts for the supplemental retirement

benefits and early retirement benefits for retired employees on the cash basis.

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II. Declaration of ComplianceThe financial statements of the Bank have been prepared in accordance with the ASBE, and

present truly and completely the Bank’s financial position, results of operations, cash flows and

other relevant information.

III. Principal Accounting Policies and Accounting EstimatesThe financial statements of the Bank of the year 2011 have been prepared in accordance with

the following principal accounting policies and accounting estimates in line with the ASBE.

1. Accounting Year

The Bank has adopted the calendar year as its accounting year, i.e. from 1st January to 31st

December.

2. Functional Currency

Renminbi (“RMB”) is the functional currency. Foreign currency transactions are accounted

by using duel accounts system.

3. Basis of Accounting

Financial statements are prepared on the accrual basis of accounting.

4. Measurement Principles

In the financial statements of the Bank, except for derivative financial instruments, financial

assets/liabilities at fair value through profit or loss, available-for-sale financial assets which are

measured at fair value, historical cost is adopted as the measurement principle. Non-current assets

classified as held for sale are measured at the lower of its carrying amount and fair value less

costs to sell. Where assets are impaired, provisions for asset impairment are made in accordance

with relevant requirements.

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5. Foreign Currency Translation

(1) Translation of Foreign Currency Transactions

Foreign currency transactions are translated into the functional currency using the spot

exchange rates at the dates of the transactions or a rate that approximates the exchange rates at

the date of the transaction. Exchange differences arising from the foreign currency transactions

are recognized in profit or loss for the current period. At the balance sheet date, foreign currency

monetary items are translated to functional currency using the spot exchange rate at that date.

Exchange differences of these items are recognized in profit or loss for the current period, except for

those exchange differences of monetary securities classified as available-for-sale. Foreign currency

non-monetary items carried at historical cost continue to be measured at the amounts in functional

currency translated using the spot exchange rates at the dates of the transactions; foreign currency

non-monetary items carried at fair value are translated using the spot exchange rates at the date

when the fair value was determined. Differences between the translated amount and the original

amount of functional currency are accounted for as changes in fair value and included in profit or

loss for the period or equity.

(2) Translation of Foreign Currency Financial Statements

The Bank translates the foreign currency to RMB when preparing the financial statements.

Assets and liabilities for each foreign currency balance sheet presented are translated at the

closing rate at the date of that balance sheet; all equity items, except “Undistributed Profits”,

are translated at the spot rates at the dates of the transactions; income and expenses for each

income statement are translated at the spot rates at the dates of the transactions. All resulting

exchange differences are recognized as “Currency translation differences”, a separate component

of equity. Foreign currency cash flows are translated at the spot rates at the transaction dates.

Effect of foreign exchange rate changes on cash and cash equivalents is presented separately in

the statement of cash flows.

6. Cash and Cash Equivalents

Cash comprises cash at hand, balances with central bank, demand placements with banks

and other financial institutions, and due from banks and other financial institutions with original

maturity of less than three months.

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7. Financial Assets

(1) Classification and Measurement of Financial Assets

On initial recognition, financial assets are classified into the following four categories: financial

assets at ‘fair value through profit or loss’ (FVTPL), ‘held-to-maturity’ investments, ‘loans and

receivables’ and ‘available-for-sale’ (AFS) financial assets. The classification of financial assets

depends on the Bank’s intention and ability to hold them. Financial assets are initially recognized

at fair value. For financial assets at FVTPL, related transaction costs are directly charged to the

profit or loss for the current period; for financial assets classified as other categories, related

transaction costs are included in the initial recognition amounts.

a. Financial Assets at FVTPL

Financial assets at FVTPL include financial assets held for trading and those designated as

FVTPL at inception. A financial asset is classified as held for trading if: (1) it has been acquired

principally for the purpose of selling in the near future; or (2) it is part of a portfolio of identified

financial instruments that are managed together and for which there is evidence of a recent

actual pattern of short-term profit-making; or (3) it is a derivative. Financial assets at FVTPL are

subsequently measured at fair value, with all realized and unrealized gains or losses recognized in

profit or loss for the current period. Interests received during the period in which the Bank holds

the financial assets at FVTPL are recognized as interest income.

b. Held-to-maturity Investments

Held-to-maturity investments are non-derivative financial assets with fixed or determinable

payments and fixed maturities that the Bank has the positive intention and ability to hold to

maturity. Held-to-maturity investments are subsequently measured at amortized cost using the

effective interest method; gains or losses arising from derecognition, impairment or amortization

are recognized in profit or loss for the current period.

Other than sales or reclassifications due to a significant deterioration in the issuer’s

creditworthiness, whenever the Bank sells or reclassify more than an insignificant amount of held

to maturity investments before maturity during the current financial year, any remaining held to

maturity investments shall be reclassified as available for sale. The Bank shall not classify any

financial assets as held to maturity during the current financial year or during the two following

financial years.

c. Loans and Receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments

that are not quoted in an active market. Loans and receivables are subsequently measured at

amortized cost using the effective interest method. Gains or losses arising from derecognition,

impairment or amortization are recognized in profit or loss for the current period.

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d. AFS Financial Assets

AFS financial assets are those non-derivative financial assets that are designated as available-

for-sale or are not classified as (1) financial assets at FVTPL, (2) loans and receivables, and (3)

held-to-maturity investments. AFS financial assets are subsequently measured at fair value.

A premium and a discount shall be amortized using the effective interest method, and

recognized as interest income or expenses. Gains or losses arising from changes in fair value (other

than impairment losses and foreign exchange differences resulted from foreign currency monetary

assets which are recognized in profit or loss for the current period) are recognized as a separate

component of capital reserve, and are reversed and recognized in profit or loss for the period when

such financial assets are derecognized or impaired. Dividends or interests income related to the

available-for-sale financial assets are recognized in profit or loss for the current period.

(2) Derecognition of financial assets

The Bank derecognizes a financial asset only when the contractual rights to receive the

cash flows from the financial asset expire or it transfers substantially all the risks and rewards of

ownership of the asset.

(3) Measurement of fair value

Financial instruments should be measured at fair value. The fair value of financial instruments

(not including derivatives) traded in active markets is based on its quoted market price. The quoted

market price is a price that is readily and regularly available from an exchange, dealer, broker,

industry association, pricing service, and etc, and represents actual and regularly occurring market

transactions on an arm’s length basis.

For all other financial instruments and derivatives not quoted in an active market, the fair

value is determined by using appropriate valuation techniques. Valuation techniques include making

reference to the prices from recent arm’s length market transactions between knowledgeable and

willing parties, if available, current fair value of another instrument that is substantially the same,

discounted cash flow analysis and option pricing models. The valuation techniques the Bank

choose are those generally accepted by the market participants, and testified as being reliable

by the past market transaction prices. The Bank assesses the valuation techniques regularly and

tests its effectiveness.

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(4) Impairment of financial assets

An assessment is made at each balance sheet date to determine whether there is objective

evidence of impairment of financial assets or group of financial assets other than those at FVTPL.

If there’s objective evidence of impairment of financial assets as a result of one or more events

that occur after the initial recognition of those assets (“loss events”) and if the loss events have

an impact on the estimated future cash flows of the financial assets or group of financial assets

that can be reliably estimated, the financial assets or group of financial assets are impaired and

impairment losses are incurred. Objective evidence that a financial asset or group of assets is

impaired includes the following observable loss events:

significant financial difficulty of the issuer or obligor;

a breach of contract, such as a default or delinquency in interest or principal

payments;

the Bank, for economic or legal reasons relating to the borrower’s financial difficulty,

granting to the borrower a concession that the Bank would not otherwise consider;

it becoming probable that the borrower will enter into bankruptcy or other financial

reorganization;

disappearance of an active market for that financial asset because of financial difficulties

of the issuer;

observable data indicating that there is a measurable decrease in the estimated future

cash flows from a group of financial assets since the initial recognition of those assets,

although the decrease cannot yet be identified with the individual financial asset in the

group, including: adverse changes in the payment status of borrowers in the group; a

decrease in property prices for mortgages in the relevant area, or adverse changes in

industry conditions that affect the borrowers in the group;

any significant change with an adverse effect that has taken place in the technological,

market, economic or legal environment in which the obligor operates, and indicates that

the cost of investments in equity instruments may not be recovered;

a significant or prolonged decline in the fair value of an investment in an equity instrument

below its cost;

other objective evidence indicating there is an impairment of the financial asset.

a. Financial assets carried at amortized cost

The Bank assesses individually whether objective evidence of impairment exists for loans and

receivables or held-to-maturity investments that are individually significant (amounts over RMB200

millions). If there is objective evidence that an impairment loss has been incurred, the carrying

amount of the asset is reduced to the present value of estimated future cash flows discounted

at the original effective interest rate and shall include the value of any relevant collaterals. The

reduced amount is recognized as impairment loss in profit or loss for the current period.

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If the estimated future cash flows do not differ significantly from its present value for short-term

loans and receivables or held-to-maturity financial assets, there’s no need to use the discounted

value when determining the impairment of the assets. The present value of the estimated future

cash flows of a collateralized financial asset or receivable reflects the cash flows that reduce the

costs for obtaining and selling the collateral, whether or not repossession is possible.

The Bank includes, in a group of financial assets with similar credit risk characteristics,

similar loans and advances to customers that are not individually significant, or customer loans

and receivables having been individually assessed for impairment and found not to be impaired,

and collectively assesses them for impairment. If there is objective evidence that estimated future

cash flows of a certain type of financial assets reduce significantly after the initial recognition,

impairment loss shall be recognized in profit or loss for the current period.

The Bank assesses the impairment losses of similar loans and advances to customers that are

not individually significant, or customer loans and receivables having been individually assessed

for impairment and found not to be impaired, by Delinquency Flow Method (Migration Model). The

probability of default and historical loss experience are used as inputs to calculate the impairment

loss. The inputs are adjusted on the basis of current observable data to reflect the effects of current

economic conditions.

Receivables that are not individually significant or those having been individually assessed

for impairment and found not to be impaired are classified in different groups according to similar

credit risk characteristics. Impairment loss is certain percentages of the balances of these receivable

groups, and allowances for bad debts are determined accordingly. Specific percentages are as

follows:

Account Receivable Age

0-6 months (6th month inclusive)

6 months – 1 year (1 year inclusive) overdue

Overdue over 1 year

Provision Rate

0%

50%

100%

If, in a subsequent period, the amount of financial assets recovers and the recovery can

be related objectively to an event occurring after the impairment was recognized (such as an

improvement in the debtor’s credit rating), the previously recognized impairment loss shall be

reversed. The amount of the reversal shall be recognized in profit or loss for the current period. The

reversal shall not result in a carrying amount of the financial asset that exceeds what the amortized

cost would have been had the impairment not been recognized at the date the impairment is

reversed.

The impairment policy for financial assets carried at amortized cost is not applicable to

Chinese Government Concessional Loan, Preferential Export Buyer’s Credit, and special state loan,

whose impairment loss is determined in accordance with their specific risk classification. The

provision rates are derived from the “five-category credit classification” as follows: normal class,

1%; concern class, 2%; secondary class, 25%; doubtful class, 50%, loss class, 100%.

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When an item of loans is uncollectible, it is written off against the related allowance for

impairment losses. Such loans and receivables are written off after all the necessary procedures

have been completed and the amount of the loss has been determined. Subsequent recoveries of

the amounts previously written off decrease the amount of the impairment loss and are recognized

in profit or loss for the current period.

b. Restructured Loans

Restructured loans are loan items arising from renegotiation of the loan terms by the Bank and

the debtors with worsening financial position or possible default. The Bank assesses the impairment

of the restructured loans individually at the restructuring date. The Bank continuously reviews

restructured loans. If all criteria are met after the restructuring watch period, the restructured loans

are no longer regarded as impaired loans after approval.

c. AFS Financial Assets

If there’s objective evidence that AFS financial assets are impaired, accumulated losses due to

decreases in fair value previously recognized directly in capital reserve are reversed and charged to

profit or loss for the current period, even if the financial assets are not derecognized. The reversed

accumulated losses are the asset’s initial acquisition costs after deducting amounts recovered and

amortized, current fair value and impairment losses previously recognized in profit or loss. If, in a

subsequent period, the carrying amount of AFS debt instruments increases and the increase can

be related objectively to an event occurring after the impairment was recognized, the previously

recognized impairment losses are reversed. The reversal shall be recognized in profit or loss for the

current period. The reversal of impairment losses of AFS equity instruments is recognized in capital

reserve, not in profit or loss for the current period. Impairment losses incurred by investments

in an unquoted equity instrument (without a quoted price in an active market) whose fair value

cannot be reliably measured are not reversed.

(5) Transfer of financial assets

The Bank derecognizes a financial asset when it transfers substantially all the risks and

rewards of ownership of the asset to the transferee, and the Bank does not derecognize a financial

asset when it retains substantially all the risks and rewards of ownership of the asset.

Where the Bank neither transfers nor retains substantially all risks and rewards of ownership

of the financial asset, and (1) gives up the control of the financial asset, the Bank derecognizes

the financial asset and recognizes an asset and liability; or (2) does not give up the control of the

financial asset, the Bank continues to recognize the relevant financial assets to the extent of the

its continuing involvement in the transferred asset, and recognizes a financial liability.

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8. Offsetting financial assets and financial liabilities in presentation

A financial asset and a financial liability are offset and the net amount is presented in the

balance sheet when the Bank has a legal right to set off the recognized amounts and the legal

right is currently enforceable; and the Bank intends either to settle on a net basis, or to realize

the financial asset and settle the financial liability simultaneously.

9. Derivative financial instruments and embedded derivatives

The Bank uses derivative financial instruments such as forward foreign currency contracts and

interest rate swaps to hedge its risks associated with foreign currency and interest rate fluctuations.

Such derivative financial instruments are initially recognized at fair value on the date on which a

derivative contract is entered into and are subsequently measured at fair value.

Fair value of derivatives are determined by quoted price in an active market (including recent

market transaction price) or valuation models (including discounted cash flow analysis and option

pricing models). Derivatives are carried as assets when the fair value is positive and as liabilities

when the fair value is negative. Derivatives that are linked to and must be settled by delivery of

investments in equity instruments that do not have a quoted market price in an active market

and whose fair value cannot be reliably measured shall be measured at cost. Certain derivative

transactions, while providing effective economic hedges under the Bank’s risk management

positions, do not qualify for hedge accounting under ASBE 24 and are therefore treated as

derivatives held for trading with fair value changes recognized as “net gains (or losses) on fair

value changes”.

10.Financial assets held under resale agreements and financial assets sold under repurchase agreements

Transactions with resale agreements are transactions when the Bank purchases securities

from the counterparty according to the resale agreements and sells the same securities at a fixed

price at a future date. Transactions with repurchase agreements are transactions when the Bank

sells securities to the counterparty according to the repurchase agreements and repurchases the

same securities at a fixed price at a future date.

Considerations paid or received for financial assets held under resale agreements or financial

assets sold under repurchase agreements are recognized in the balance sheet. Assets purchased

under agreements to resell at a specified future date are not recognized, but recorded on the

reference book. Assets sold under agreements to repurchase at a specified future date are still

presented in the balance sheet. The interest income for resale agreements and interest expense

for repurchase agreements are accrued over the life of the agreement using the effective interest

method.

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11.Long-term equity investment

(1) Subsidiaries

The cost method is used to account for the Bank’s investment in subsidiaries. The investment

is adjusted by equity method when preparing the consolidated financial statements.

(2) Associates and joint ventures

Associates are all entities over whose financial and operational decisions the Bank has

significant influence. Joint ventures exist where the Group has a contractual arrangement with one

or more parties to undertake economic activities which are subject to joint control.

Investments in associates and joint ventures are initially recognized at cost and are accounted

for using the equity method of accounting. Unless the Bank has an obligation to assume liability

or has already made payments for the associates or the joint ventures, the losses of the associates

and the joint ventures are recognized to the extent of the carrying amount of the investment. The

Bank recognizes the investment gains or losses for the current period and adjusts the carrying

amount of long-term equity investment according to the share of the net profit/loss of the investee.

Distributions or cash dividends of the investee that belong to the Bank reduce the carrying amount

of the long-term equity investment when declared.

Unrealized gains on transactions between the Bank and its associates and joint ventures are

eliminated to the extent of the Bank’s interests in the associates and joint ventures; unrealized

losses are also eliminated unless the transaction provides evidence of impairment of the asset

transferred. Accounting policies of associates and joint ventures shall be adjusted when preparing

the financial statements to ensure consistency with the policies adopted by the Bank.

(3) Long-term equity investment with no control, joint control or significant influence

Where the Bank does not have control, joint control or significant influence over the investee,

and the investment is not quoted in an active market and its fair value cannot be reliably measured,

a long-term equity investment is accounted for using the cost method.

(4) For long-term equity investment accounted for using the cost method, except for the cash

dividends or distributions declared and not yet distributed included in the considerations paid to

acquire the investment, the cash dividend or distributions declared by the investee that belong to

the investor should be recognized as investment gains, without considering whether the net profit

is realized before or after the investment.

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12.Fixed assets

The Bank’s fixed assets are tangible assets that are held for use in the supply of services,

have useful lives over one accounting year and high values per unit.

Fixed assets include buildings, equipment, motor vehicles and others. A fixed asset is initially

measured at cost. The cost of a purchased fixed asset comprises its purchase price, tariffs and any

directly attributable costs of bringing the asset to its present working condition and location for its

intended use. The cost of a self-constructed fixed asset comprises those expenditures necessarily

incurred for bringing the asset to working condition for its intended use.

The cost of a fixed asset contributed by an investor shall be determined in accordance with

the value stipulated in the investment contract or agreement, except when the value stipulated in

the contract or agreement is not fair, fair value will be used. A fixed asset that is obtained under

a finance lease is measured at the lower of the fair value of the leased asset and the present value

of the minimum lease payments, each determined at the inception of the lease.

Subsequent expenditure incurred on a fixed asset, such as repairs and maintenance cost,

dismantlement, removal and restoration costs, is included in the cost of the fixed asset, only

if it meets the recognition criteria of a fixed asset. The carrying amount of the replaced part is

derecognized. Other subsequent expenditure that fails to meet the recognition criteria of a fixed

asset shall be recognized in profit or loss in the period in which they are incurred.

The Bank provides depreciation for all its fixed assets other than fully depreciated fixed assets

that are still in use and land that is separately valued and accounted for. Depreciation is calculated

on the straight-line basis and expensed according to its use. The estimated useful lives, residual

value rate and depreciation rate of the Bank’s fixed assets are as follows:

Type of assets Estimated useful lifeEstimated

residual value rate Depreciation rate/year

Buildings 30-35 years 3% 2.77-3.23%

Equipment 3-5 years 3% 19.40-32.33%

Motor vehicles 6 years 3% 16.17%

The Bank reviews the useful life and estimated net residual value and the depreciation method

applied at each financial year-end. A change in the useful life or estimated net residual value

of a fixed asset or the depreciation method used is accounted for as a change in an accounting

estimate.

A fixed asset is derecognized upon disposal or when no future economic benefits are expected

from its use or disposal. Any gain or losses arising from selling, transferring, retiring or damaging

the asset (calculated as the difference between the net disposal proceeds and the carrying amount

of the asset and related tax expenses) are recognized in the profit or loss for the current period.

13. Investment Property

Investment property is the property held for collecting rent or capital increase or both. This

mainly includes the Bank’s office building. The investment property is valued at cost.

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14.Construction in Progress

Cost of construction in progress is determined as the expenditure is actually incurred for the

construction. Cost of self-operated construction includes direct materials, direct labor cost and

direct costs of equipment. Cost of outsourced construction is measured at contract price.

Cost of installation construction includes equipment, installation and test costs. Items

classified as construction in progress are transferred to fixed assets at an estimated value based

on the budgetary cost or actual cost when such assets are ready for their intended use. The

depreciation charge commences in the following month. The cost of fixed assets and depreciation

are adjusted according to the settlement value.

15. Intangible Assets

An intangible asset is an identifiable non-monetary asset without physical substance owned

or controlled by the Bank, including computer software and other intangible assets. An intangible

asset is initially measured at cost. These costs are amortized on a straight-line basis over their

estimated useful lives or validity period with the amortization recognized in the profit or loss for

the current period from the date the asset is available for use. Intangible assets are presented net

at acquisition cost less accumulated amortization and impairment.

16.Research and Development

Expenditure on an internal research and development project shall be classified into

expenditure on the research phase and expenditure on the development phase according to its

nature and whether there’s significant uncertainty that intangible assets will come into being.

Expenditure on the research phase shall be recognized in profit or loss for the period in which

it is incurred. Expenditure on the development phase shall be recognized as an intangible asset

only when the Bank can demonstrate all of the following:

(1) the technical feasibility of completing the intangible asset so that it will be available for

use or sale;

(2) the intention to complete the intangible asset and use or sell it;

(3) the existence of a market for the output of the intangible asset or the intangible asset

itself;

(4) the availability of adequate technical, financial and other resources to complete the

development and the ability to use or sell the intangible asset;

(5) its ability to measure reliably the expenditure attributable to the intangible asset during

its development phase.

Expenditure failed to meet the criteria mentioned above shall be recognized in profit or loss

for the period in which it is incurred. Expenditure that was previously recognized as an expense

shall not be recognized as an asset at a later date. Expenditure on the development phase that

was capitalized is presented as development expenditure in the balance sheet, and transferred to

intangible assets when such projects are ready for their intended use.

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17.Amortization of Long-term Deferred Expense

Long-term deferred expense is expense incurred and amortized in a period longer than 1 year

(1 year not included), mainly the decoration expense of rented fixed assets amortized evenly over

the period stipulated in the contract or period of benefit.

18.Foreclosed Assets

When recovering the impaired loans and receivables, the Bank may acquire ownership of

the foreclosed assets through legal procedures or at the borrower’s will. If the Bank intends to

liquidate and exempts the borrower from repaying loans, foreclosed assets are presented as “other

assets”.

When the Bank recovers interest receivables by acquiring foreclosed assets, the foreclosed

assets are recognized at fair value. Related cost in acquiring the foreclosed assets, legal cost and

other costs are recognized as part of the carrying amount of the foreclosed assets. Foreclosed assets

are presented at carrying amount less impairment in the balance sheet. If, in a subsequent period,

the amount of foreclosed assets recovers and the recovery can be related objectively to an event

occurring after the impairment was recognized, the previously recognized impairment loss shall be

reversed. The amount of the reversal shall be recognized in profit or loss for the current period.

19. Impairment of Non-financial Assets

The Bank assesses at each balance sheet date whether there is any indication that fixed

assets, intangible assets with a finite useful life and long-term equity investment may be impaired.

If there is any indication that an asset may be impaired, the recoverable amount is estimated and

impairment test is conducted.

The recoverable amount of an asset is the higher of its fair value less costs of disposal and

the present value of the future cash flows expected to be derived from the asset. The recoverable

amount is estimated for the individual asset. If it is not possible to estimate the recoverable amount

of the individual asset, the Bank determines the recoverable amount of the asset group to which

the asset belongs. Identification of an asset group shall be based on whether major cash inflows

generated by the asset group are largely independent from the cash inflows generated by other

assets or asset groups.

If the recoverable amount of an asset is less than its carrying amount, the Bank reduces the

carrying amount to its recoverable amount. The difference is recognized as an impairment loss

and charged to profit or loss for the current period. Once an impairment loss on above mentioned

assets is recognized, it shall not be reversed in a subsequent period.

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20.Classification and Measurement of Financial Liabilities

On initial recognition, financial liabilities are classified as either financial liabilities at ‘fair

value through profit or loss’ (FVTPL) or ‘other financial liabilities’. For financial liabilities at FVTPL,

related transaction costs are directly charged to the profit or loss for the current period; for financial

liabilities classified as other financial liabilities, related transaction costs are included in the initial

recognition amounts.

(1) Financial liabilities at FVTPL

Financial liabilities are classified as at FVTPL where the financial liability is either held for

trading or originally designated as at FVTPL. A financial liability is classified as held for trading

if (1) it is acquired or incurred principally for the purpose of selling or repurchasing it in the

near term; (2) if it is part of a portfolio of identified financial instruments that are managed

together and for which there is evidence of recent actual pattern of short-term profit-making; or

(3) derivatives, except for a derivative that is a designated and effective hedging instrument, or a

financial guarantee contract, or a derivative that is linked to and must be settled by delivery of an

unquoted equity instrument (without a quoted price from an active market) whose fair value cannot

be reliably measured. Financial liabilities at FVTPL are subsequently measured at fair value, with

all realized and unrealized gains or losses recognized in profit or loss for the current period.

(2) Other financial liabilities

Other financial liabilities are initially recognized at fair value net of transaction costs. Other

financial liabilities are subsequently measured at amortized cost using the effective interest

method.

21.Provision

An obligation related to a contingency is recognized as a provision when all of the following

conditions are satisfied: (1) the obligation is a present obligation of the Bank; (2) it is probable

that an outflow of economic benefits will be required to settle the obligation; and (3) the amount

of the obligation can be measured reliably. For obligation balances arising from the letter of credit

or letter of guarantee issued off-balance sheet, the Bank assesses if there’s any indication that

impairment is occurred according to the similar financial assets in the balance sheet and accrues

off-balance sheet credit risks provision.

A provision is initially measured at the best estimate of the expenditure required to settle

the related present obligation, taking into account the factors pertaining to a contingency such

as the risks, uncertainties and time value of money. The Bank reviews the carrying amount of a

provision at each balance sheet date. Where there is clear evidence that the carrying amount of

a provision does not reflect the current best estimate, the carrying amount shall be adjusted to

the current best estimate.

The Bank follows similar impairment policy to recognize provision for letter of guarantee and

letter of credit issued off-balance sheet.

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22.Employee Benefits

Employee benefits are all forms of consideration given and other relevant expenditures incurred

by the Bank in exchange for service rendered by employees. In the accounting period in which

an employee has rendered services, the Bank recognizes the employee benefits payable for those

services as a liability, and recognizes relevant asset or expense for the current period.

(1) Social Welfare

According to related regulations, the Bank adopts the social welfare policy for government

sponsored institutions. Employees of the headquarters of the Bank are enrolled in unemployment

insurance schemes. Some branches are enrolled in local social welfare schemes according to the

local policies. Expenditure related to payments for employees’ social welfare is included in profit

or loss for the period in which they are incurred.

(2) Retirement Benefits

According to the regulations issued by the MOF, expenditure related to pension and benefits

for retired employees is included in profit or loss for the period in which they are incurred.

(3) Housing Funds and Subsidy

Pursuant to related regulations, all employees of the Bank participate in various local housing

funds schemes administered by local governments. The Bank contributes on a monthly basis to

these funds based on certain percentages of the salaries of the employees. These payments are

recognized in profit or loss for the period in which they are incurred. The Bank provides housing

subsidy to the employees applicable. Housing subsidy is recognized in profit or loss for the period

in which they are disbursed.

23.Fiduciary Activities

The Bank acts as a custodian, trustee or agent in fiduciary activities. The assets held for

fiduciary activities and commitments to return the assets to the clients are not included in the

balance sheet of the Bank, and risks and rewards of these assets are the responsibility of the

customers.

Entrusted loans are loans funded by the consigner, and the Bank grants loans to borrowers at

the direction of the consigner with regard to the borrower, purpose, amounts, term, interest rates,

and etc. The Bank is entrusted to make payment to the borrower, supervise the use of the loans

and assist in collecting these loans. The consigner bears the risk. The Bank charges a commission

related to the entrusted loans, and neither presents the entrusted loans in the balance sheet nor

accrues impairment provision for the loans.

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24.Recognition of Income and Expenses

(1) Interest Income and Expense

Interest income or expense of the financial assets or financial liabilities measured at amortized

cost is calculated using effective interest method on an accrual basis. The effective interest

method is a method of calculating the amortized cost of financial assets or financial liabilities,

and of allocating the interest income or interest expense over the relevant period. The effective

interest rate is the rate that exactly discounts estimated future cash payments or receipts through

the expected life of the financial instrument to the net carrying amount of the financial asset or

financial liability. When estimating the future cash flows, the Bank considers all contractual terms

of financial instruments, but without considering future credit losses. The calculation includes all

transaction costs, discounts and premiums that are an integral part of the effective interest rate.

If the financial assets impair, relevant interest income is calculated using the discount rate

of future cash flows for measuring the impairment losses.

(2) Fees and Commission Income

Fees and commission income is recognized on an accrual basis when the service is

provided.

Loan commitment fees and related direct cost relevant to possible loans are deferred and

recognized as an adjustment to the effective interest rate of the loans. When all the loans for a

syndication group are issued, and the Bank itself doesn’t retain any loans or retain some loans

only at the same effective interest rate as other members of the syndication, fees of the syndication

loans are recognized as income.

When the Bank provides services independently or participates in services to a third party

regarding business mergers, acquisitions and transfer, and issuance of securities, omissions

received are recognized when the transaction accomplishes. Fees relating to asset management,

other management advisory services and financial guarantee are normally recognized over a period

according to a percentage agreed in the contract.

(3) Exchange Gains/Losses

Exchange gains/losses arise mainly from the exchange difference of foreign currency exposure

translated at fluctuated exchange rate.

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25. Income Taxes

Income taxes comprise current income taxes and deferred tax. Income taxes are included

in profit or loss for the current period, except for those related to transactions or events directly

recognized in owners’ equity, which are recognized directly in owners’ equity.

Taxable profits, which are the basis for calculating the current tax expenses, are determined

after adjusting the accounting profits before tax for the year in accordance with relevant

requirements of tax laws.

At the balance sheet date, current income tax liabilities (or assets) for the current and

prior periods are measured at the amount expected to be paid (or recovered) according to the

requirements of tax laws.

Temporary differences arising from the difference between the carrying amount of an asset or

liability and its tax base, or the difference between the tax base and the carrying amount of those

items that are not recognized as assets or liabilities but have a tax base that can be determined

according to tax laws, are recognized as deferred tax using the balance sheet liability method.

Except for the following taxable temporary differences, the Bank recognizes deferred tax

liabilities for all taxable temporary differences.

(1) Taxable temporary differences arise from the following transactions (a) the initial

recognition of goodwill; and (b) the initial recognition of an asset or liability in a transaction which

is either a business combination nor affects accounting profit or taxable profit (or deductible loss)

at the time of the transaction.

(2) For taxable temporary differences associated with investments in subsidiaries, associates

and joint ventures, the Bank is able to control the timing of the reversal of the temporary difference

and it is probable that the temporary difference will not reverse in the foreseeable future.

Except for the following, the Bank recognizes deferred tax assets to the extent that it is

probable that taxable profits will be available against which the deductible temporary differences,

deductible losses and tax credits can be utilized.

(1) Deductible temporary differences arise from a transaction which is neither a business

combination nor affects accounting profit or taxable profit (or deductible loss) at the time of the

transaction.

(2) For deductible temporary differences associated with investments in subsidiaries,

associates and joint ventures, if it is probable that the temporary difference will reverse in the

foreseeable future and it is probable that taxable profits will be available in the future, against

which the temporary difference can be utilized, the Bank recognizes the corresponding deferred

tax asset.

At the balance sheet date, deferred tax assets and deferred tax liabilities are measured at

the tax rates that are expected to apply to the period when the asset is realized or the liability

is settled, according to the requirements of tax laws, and reflect the tax effect of the expected

realization of asset and settlement of liability.

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At the balance sheet date, the Bank reviews the carrying amount of any deferred tax asset.

If it is probable that sufficient taxable profits will not be available in future periods to allow the

benefit of the deferred tax asset to be utilized, the carrying amount of the deferred tax asset is

reduced. Any such reduction in amount is reversed to the extent that it becomes probable that

sufficient taxable profits will be available.

26.Leases

(1) Classification of leases

A finance lease is a lease that transfers in substance all the risks and rewards incidental to

ownership of an asset. An operating lease is a lease other than a finance lease.

(2) Finance lease

When the Bank is a leaser under finance leases, the minimum lease payment receivable from

the lessee is recognized as a receivable and presented as “loans and advances” at the inception of

the lease. Unguaranteed residual value is recognized in the meantime. The difference between the

receivable and unguaranteed residual value and the present value of the receivable is recognized

as unearned finance income. Unearned finance income shall be allocated over the lease term using

the effective interest method.

(3) Operating lease

When the Bank is the lessee under an operating lease, rental expenses are charged in

“Operating and management expenses” in the income statement on a straight-line basis over the

lease term. When the Bank is the leaser under operating leases, the assets subject to the operating

lease are accounted for as the Bank’s assets. Rental income is recognized as “Other operating

income” in the income statement on a straight-line basis over the lease term.

27.Contingent liabilities

A contingent liability is a possible obligation that arises from past events and whose existence

will only be confirmed by the occurrence or non-occurrence of one or more uncertain future events

not wholly within the control of the Bank. It can also be a present obligation arising from past

events that is not recognized because it is not probable that an outflow of economic resources will

be required or the amount of obligation cannot be measured reliably.

Contingent liabilities are not recognized as provisions. They are disclosed in the Notes. They

are recognized as provisions only when it is probable that an outflow of economic benefits will be

required to settle the obligation, and the amount of the obligation can be measured reliably.

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28.Preparation of Consolidated Financial Statements

The scope of consolidation is the Bank and all its subsidiaries.

The dates on which the Bank obtains or loses control of its subsidiaries are considered as the

acquisition date and the date of disposal. Subsidiaries acquired through a business combination

involving enterprises under common control are consolidated since they and the Bank are commonly

controlled by the controlling party. Their net profit obtained before the consolidation date is

presented as a separate line item in the consolidated income statement. If the accounting policies

or accounting periods of the subsidiaries are different from those of the Bank, when preparing

the consolidated financial statements, the Bank makes necessary adjustments to the financial

statements of the subsidiaries based on its own accounting policies and accounting periods. Where

a subsidiary has been acquired through a business combination not involving enterprises under

common control, the subsidiary’s financial statements are adjusted according to the fair value of

identifiable net assets at the acquisition date.

All significant intergroup accounts, transactions and unrealized profit between the Bank and

its subsidiaries are eliminated on consolidation. The portion of a subsidiary’s owner’s equity that

is not attributable to the parent is treated as minority interests and presented in the consolidated

balance sheet as owner’s equity, and in the consolidated income statement below the “net profit”

line item.

29.Business Combination

Where a subsidiary has been acquired through a business combination not involving enterprises

under common control, the cost of an acquisition and the identifiable net assets acquired in the

combination are measured as the fair value at the acquisition date. The excess of the cost of

acquisition over the fair value of the Bank’s share of the identifiable net assets acquired is recorded

as goodwill. If the cost of acquisition is less than the fair value of the net assets of the subsidiary

acquired, the difference is recognized directly as profit or loss for the current period.

30.Critical Accounting Policies and Judgments

The Bank reviewed regularly critical estimates and assumptions, which are based on historical

experiences of the Bank’s management as well as other factors, including reasonable anticipation

for the future issues. Critical estimates and assumptions, which most likely affect the carrying

amounts of next year’s assets and liabilities, are set out below. When there is a huge gap between

the reality and the following accounting estimates and judgments, the Bank will make reasonable

adjustment according to the facts.

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(1) Impairment allowances on loans and advances

The Bank reviews its loan portfolio to assess impairment on a periodic basis, and evaluate

the impairment loss when impairment is incurred. Objective evidence for impairment includes

observable data indicating that there is a measurable decrease in the estimated future cash flows

for an individual loan or advance, observable data indicating that there has been an adverse

change in the payment status of borrowers or issuers, or national or local economic conditions

that correlate with defaults on assets in the portfolio.

Impairment loss for individual loans and advances is the net reduction in the present value

of expected future cash flows. In addition to the assessment of identifiable impairment of the

individual loans, the Bank assesses the impairment of loan groups periodically. Indications for

impairment that causes the reduction of expected cash flows include adverse changes in the

payment status of borrowers in the group or adverse changes in economic conditions that affect the

borrowers in the group. The Bank estimates the impairment loss of the loan groups with impairment

indications based on historical experience of assets loss with similar credit risk characteristics.

The methodology and assumptions used for estimating both the amount and timing of future cash

flows are reviewed regularly to narrow the gap between estimated loss and actual loss.

(2) Impairment of AFS financial assets

The Bank follows the guidance of ASBE 8 – Impairment of Assets and ASBE22 – Financial

Instruments: Recognition and Measurement to determine if AFS financial assets are impaired, and

the final judgment heavily relies on the decision of top management. In making this judgment,

the Bank evaluates the duration and extent to which the fair value of an investment is less than

its cost, and the financial health of the underlying assets (such as probability of default and loan

loss coverage, etc), financial position and near-term business outlook for the investee, including

factors such as industry and sector performance, and credit ratings.

(3) Fair value of financial instruments

The Bank establishes fair value of financial instruments with reference to a quoted market

price in an active market or, if there is no active market, using valuation techniques. These

valuation techniques include the use of recent arm’s length transactions, observable prices for

similar instruments, discounted cash flow analysis using risk-adjusted interest rates, and commonly

used market pricing models. Valuation models applied to determine fair value of derivatives

and other financial instruments use observable market inputs and data including, for example,

interest rate yield curves and foreign currency rates. The results of using valuation techniques are

calibrated against industry practice and observable current market transactions in the same or

similar instruments.

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With respect to large-scale financing transactions under the guidance of Chinese government’s

policy, fair value is determined by using the stated terms of the related instrument while consulting

terms determined in similar transactions engaged in or directed by Chinese government, for there

are no other relevant market prices or yields available reflecting arm’s length transactions of a

comparable scale and period.

The Bank revises the valuation scope according to the operational strategy and risk

management policies. Valuation techniques and models are updated in accordance with the

establishment and improvement of risk quantification and assessment system.

(4) Held-to-maturity Investments

The Bank classifies non-derivative financial assets with fixed or determinable payments and

fixed maturity as held-to-maturity investments. This classification requires significant judgment.

In making this judgment, the Bank evaluates its intention and ability to hold such investments

to maturity. If the Bank’s judgment differs from the reality, it will be required to reclassify the entire

portfolio of assets as available-for-sale.

(5) Income Taxes

There are many transactions and calculations for which the ultimate tax is uncertain during

the ordinary course of business. The Bank assesses the tax effect of all transactions prudently

and calculates relevant income tax. The Corporate Income Tax Law of the Peoples’ Republic of

China took effect on 1 January 2008. However, there are many transactions and calculations

for which the ultimate tax is uncertain during the ordinary course of business, because the

supplementary legislation under new CIT Law is not finalized. The Bank has made judgment on

whether impairment loss shall deduct taxable income by taking into account existing tax legislation

and past practice. Where the final tax outcome of these matters is different from the amounts that

were initially recorded, such differences will impact the income tax and deferred income tax for

the period when the tax amount is determined.

The Bank recognizes deferred tax assets in accordance with deductible temporary differences

and deductible losses. The Bank assesses the judgment on deferred income tax continuously, and

recognizes deferred tax assets to the extent that it is probable that taxable profits will be available

in the future.

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IV. Changes in Accounting Policies, Accounting Estimates and Other Revisions

The Bank doesn’t have any changes in accounting policies, accounting estimates and other

revisions for year 2011.

V. TaxationThe principal taxes and tax rates to which the Bank is subject to are listed below:

Tax/Fee Tax/Fee Basis Rate

Business Tax Taxable financial operating income 5%

City Construction Tax Business Tax 7%

Education Surcharge Business Tax 3%

Income Tax Taxable Income 25%

According to the regulation of Guoshuifa 2008 28 circular and Guoshuihan 2004

1996 circular, income tax of the Bank is turned in on an aggregated basis by the headquarter at

the end of a period, and business tax is turned in separately by the headquarter and branches.

Yinding Holdings Ltd, a subsidiary of the Bank located in Hong Kong calculates and turns in

its taxes in accordance to local taxation regulations.

VI. Notes to Major Items of Financial Statements of the BankYinding Holdings Ltd. and Shengying, the subsidiaries of the Bank which were included in

the scope of consolidation, have limited impact on the Bank’s statistics, so only the significant

differences between the Bank’s Financial Statements and Consolidated Financial are listed as

follows:

Long-term Equity Investment

1. Classification of Long-term Equity Investment

In thousands of RMB

Item Current Year Last Year

Long-term equity investment accounted for using the cost method

3,550,783,390.86 1,842,849,683.15

Long-term equity investment accounted for using the equity method

2,253,576,807.13 1,839,822,365.29

Total long-term equity investment 5,804,360,197.99 3,682,672,048.44

Less: Impairment for long-term equity investment

Book value of long-term equity investment 5,804,360,197.99 3,682,672,048.44

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2. Long-term Equity Investment Valued by Cost Method and Equity Method

In thousands of RMB

Invested Organizations PercentageBeginning

Balance Increase Decrease Ending Balance

Cost Method

CASREV FUND 28.68% 145,000,000.00 72,500,000.00 217,500,000.00

Mandarin Capital Partner S.C.A.SICAR 22.88% 328,358,633.80 128,926,700.31 457,285,334.11

Mandarin Capital Management S.A 10.00% 238,827.61 48,928.32 287,755.93

AFREXIM Bank 2.43% 44,203,608.63 1,414,339.14 45,617,947.77

Credit Guarantee & Investment Facility 28.57% 1,324,540,003.60 4,559,995.60 1,329,099,999.20

China Aerospace Investment Holdings Ltd 12.58% 777,596,162.68 777,596,162.68

Chinese Classic trade 500,000.00 500,000.00

Yinding Holdings Ltd. 100.00% 8,609.51 418.34 8,191.17

Shanghai Shengying Real Estate Co.,Ltd 100.00% 722,888,000.00 722,888,000.00

Sub-total 1,842,849,683.15 1,707,934,126.05 418.34 3,550,783,390.86

Equity Method

Orisi SiLicon Co.,Ltd 16.76% 274,474,526.47 274,474,526.47

Xi’an Carbon materials Co.,Ltd 43.27% 108,941,197.45 108,941,197.45

Xi’an Xiyue Electronics Technology Co.,Ltd 40.00% 324,286,496.84 324,286,496.84

Sichuan Sunkun Equipment Co.,Ltd 32.89% 66,095,744.00 66,095,744.00

ChongQing Export-Import Credit Guarantee Co.,Ltd

40.00% 811,533,757.76 26,649,801.19 838,183,558.95

Chengdu Yinke Venture Capital Co.,Ltd 50.00% 254,490,642.77 255,463,878.59 509,954,521.36

Northeast China SME Credit Re-guarantee.co.,Ltd

30.00% 905,438,726.82 905,438,726.82

Sub-total 1,839,822,365.29 1,187,552,406.60 773,797,964.76 2,253,576,807.13

Total 3,682,672,048.44 2,895,486,532.65 773,798,383.10 5,804,360,197.99

VII. Contingencies and Major Off-Balance Sheet Items1. Legal Proceedings

Up until December 31, 2011, there are no legal proceedings with significant influence over

the Bank’s financial position and operating results.

2. Capital Commitments

In May 2007, the Bank joined in the establishment of China-Italy Small and Medium Sized

Enterprises Fund (Mandarin Fund) which has a total scale of 327.75 million Euro. The bank

committed to subscribe 75 million Euro. Up until December 31, 2011, the Bank has paid a

subscribing amount of 47,815,758.00 Euro. The remaining amount will be paid before May 2012

according to the contract.

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In May 2008, the Bank committed to invest RMB290 million Yuan to Guoke Ruihua Venture

Capital. Up until December 31, 2011, the Bank has made payment of RMB217.5 million Yuan,

and the remaining amount will be paid before June 2013.

The registered capital of Chengdu Investment Holding Group Co., Ltd (CDIH) is 1.5 billion

Yuan, and will be paid in separately in three phases. The Bank committed to pay in 750 million

Yuan. Up till December 31, 2011, the Bank has injected 500 million Yuan in total, and then the

subsequent injection will depend on the progress of the venture capital’s investment project.

The Bank set up China-Asian Investment Cooperation Fund, L.P. through its subsidiary

Yinding Holdings Ltd in March 2010. According to Limited Partnership Agreement, the Bank is

committed to invest USD300 million in total. As at the balance sheet date, the Bank has injected

USD154,008,520.72 with the rest of USD145,991,479.28 as commitment.

3. Credit Commitments

In thousands of RMB

Item Ending Balance Beginning Balance

Letters of guarantee issued 150,935,117.00 149,542,627.12

Letters of credit issued 20,051,801.24 7,247,652.92

Bank bill acceptance 4,213,397.40 5,116,009.05

Irrevocable loan commitments 351,283,544.27 332,222,309.17

Total 526,483,859.90 494,128,598.26

4. Operating leases Commitment

In April 2010, the Bank and Beijing Chemsunny Property Management Corp reached a

supplementary agreement, renewing the operating leasing of West Tower, Chemsunny World Trade

Center as Office building. Up till December 31, 2011, the Bank had a remaining lease term of 26

months with an operating lease commitment of RMB482, 408,342 Yuan.

5. Underwriting Obligations

In thousands of RMB

Item Ending Balance Beginning Balance

Enterprise short-term financing bills 710,000.00 820,000.00

Total 710,000.00 820,000.00

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VIII. Balance Sheet of Onlending Loans of Foreign GovernmentsIn thousands of RMB

ASSETS 2011-12-31

Due from Banks 999,164

Other Receivables 628,715

Other Liquid Assets 11,921,920

Onlent Foreign Government Loans 152,143,255

Less: Provision for Doubtful Debt in Loans 260,229

TOTAL ASSETS 165,432,825

LIABILITIES 2011-12-31

Accounts Payable 1,010,952

Borrowings of Foreign Government Loans 164,291,241

TOTAL LIABILITIES 165,302,193

OWNER’S EQUITY 2011-12-31

Undistributed Profits 130,632

TOTAL OWNER’S EQUITY 130,632

TOTAL LIABILITIES & OWNER’S EQUITY 165,432,825

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Branches and Representative Offices

2011

2011 21 3

In 2011, the Bank set up Xinjiang Branch, Xiamen Branch, and Tianjin Branch. By the end

of 2011, the Bank has 21 branches and 3 overseas representative offices.


Business Branches

Beijing Branch

Coverage: Beijing, Hebei Province, Henan Province, Shanxi Province, Inner Mongolia Autonomous Region

77 Address: No.77, Beiheyan Street, Dongcheng District, Beijing, China

100009 Zip: 100009

SWIFT: EIBCCNBJBJB SWIFT: EIBCCNBJBJB

(010) 64099688 64060636 Tel: (010) 64099688 64060636

(010) 64069226 Fax: (010) 64069226

Shanghai Branch

Coverage: Shanghai, Jiangxi Province

500 27-29 Address: Fl. 27-29, No.500 Pudongnan Road, Shanghai, China

200120 Zip: 200120

SWIFT: EIBCCNBJSHA SWIFT: EIBCCNBJSHA

(021) 68593366 Tel: (021) 68593366

(021) 58769785 Fax: (021) 58769785

Shenzhen Branch

Coverage: Shenzhen, Hainan Province

20167-8

Address: Fl. 7-8, Southern Securities Tower, No.2016 Jianshe Road, Luohu District, Shenzhen, Guangdong Province, China

518001 Zip: 518001

SWIFT: EIBCCNBJSZT SWIFT: EIBCCNBJSZT

(0755) 82215088 Tel: (0755) 82215088

(0755) 82215588 Fax: (0755) 82215588

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Jiangsu Branch

Coverage: Jiangsu Province

4940-42

Address: Fl. 40-42, Shangmao Century Plaza, No.49 Zhongshannan Road, Nanjing, Jiangsu Province, China

210005 Zip: 210005

SWIFT: EIBCCNBJNJB SWIFT: EIBCCNBJNJB

(025) 86890571 Tel: (025) 86890571

(025) 86890502 Fax: (025) 86890502

Dalian Branch

Coverage: Liaoning Province

1519-20

Address: Fl. 19-20, Financial Plaza, No.15 Renmin Road, Zhongshan District, Dalian, Liaoning Province, China

116001 Zip: 116001

SWIFT: EIBCCNBJDLB SWIFT: EIBCCNBJDLB

(0411) 82507899 Tel: (0411) 82507899

(0411) 82507377 Fax: (0411) 82507377

Chengdu Branch

Coverage: Sichuan Province, Guizhou Province, Tibet Autonomous Region

1480 15-17Address: Fl. 15-17, West Tower of La Defense Building,

No.1408 Tianfudadao Street, Chengdu, Sichuan Province, China

610042 Zip: 610016

SWIFT: EIBCCNBJCDB SWIFT: EIBCCNBJCDB

(028) 86130388 Tel: (028) 86130388

(028) 86130398 Fax: (028) 86130398

Qingdao Branch

Coverage: Shandong Province

17 Address: No.17 Huiquan Road, Qingdao, Shandong Province, China

266071 Zip: 266071

SWIFT: EIBCCNBJQDB SWIFT: EIBCCNBJQDB

(0532) 80899999 Tel: (0532) 80899999

(0532) 83889731 Fax: (0532) 83889731

Zhejiang Branch

Coverage: Zhejiang Province (except Ningbo)

18 Address: No.18 Jiaochang Road, Xiacheng District, Hangzhou, Zhejiang Province, China

310006 Zip: 310006

SWIFT: EIBCCNBJZJP SWIFT: EIBCCNBZJP

(0571) 87851888 Tel: (0571) 87851888

(0571) 87851800 Fax: (0571) 87851800

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Hunan Branch

Coverage: Hunan Province

13923-24

Address: Fl. 23-24, Hunan Culture Building, No.139 Shaoshanbei Road, Changsha, Hunan Province, China

410011 Zip: 410011

SWIFT: EIBCCNBJHUN SWIFT: EIBCCNBJHUN

(0731) 82819888 Tel: (0731) 2819888

(0731) 82819376 Fax: (0731) 2819376

Chongqing Branch

Coverage: Chongqing Municipality

7 18-22Address: Fl. 18-22, Muxing Science & Technology Building,

No.7, Huangshan Street, High-tech Park, North New-Tech Zone, Chongqing, China

401121 Zip: 401121

SWIFT: EIBCCNBJCQB SWIFT: EIBCCNBJCQB

(023) 86078899 Tel: (023) 86078899

(023) 86078866 Fax: (023) 86078866

Shaanxi Branch

Coverage: Shaanxi Province, Gansu Province, Ningxia Hui Autonomous Region, Qinghai Province

228-30

Address: Fl. 28-30, East Tower, Western International Square, No.2, Gaoxin Road, High-tech Development Zone, Xi’an, Shaanxi Province, China

710075 Zip: 710075

SWIFT: EIBCCNBJSXA SWIFT: EIBCCNBJSXA

(029) 68681888 Tel: (029) 68681888

(029) 68680999 Fax: (029) 68680999

Hubei Branch

Coverage: Hubei Province

1781

Address: Building No.1, Donghu Villa, No. 178 Donghu road, Wuhan, Hubei Province, China

430077 Zip: 430033

SWIFT: EIBCCNBJHUB SWIFT: EIBCCNBJHUB

(027) 85712403 Tel: (027) 85712403

(027) 85712314 Fax: (027) 85712314

Heilongjiang Branch

Coverage: Heilongjiang Province, Jilin Province

436 15-18Address: Long’an Building, No.436 Youyi Road, Daoli District,

Harbin, Heilongjiang Province, China

150018 Zip: 150090

SWIFT: EIBCCNBJHLJ SWIFT: EIBCCNBJHLJ

(0451) 82283377 Tel: (0451) 82283377

(0451) 82365928 Fax: (0451) 82365928

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Guangdong Branch

Coverage: Guangdong Province (except Shenzhen), Guangxi Zhuang Autonomous Region

233 Address: 233 Tianhebei Road, Guangzhou, Guangdong Province, China

510620 Zip: 510620

SWIFT:EIBCCNBJGDB SWIFT: EIBCCNBJGDB

(020) 38771522 Tel: (020) 38771522

(020) 38771507 Fax: (020) 38771507

Yunnan Branch

Coverage: Yunnan Province

4517-18

Address: Fl. 17-18, Expo Building, No.45 Tuodong Road, Kunming Yunnan Province, China

650011 Zip: 650011

SWIFT: EIBCCNBJYNB SWIFT: EIBCCNBJYNB

(0871) 8336333 Tel: (0871) 8336333

(0871) 3822111 Fax: (0871) 3822111

Ningbo Branch

Coverage: Ningbo City

555A 18

Address: Fl. 18, A Tower, CITIC Square, No. 555 Jingjia Road, Jiangdong District, Ningbo, Zhejiang Province, China

315040 Zip: 315040

SWIFT: EIBCCNBJNBB SWIFT: EIBCCNBJNBB

(0574) 87209999 Tel: (0574) 87209999

(0574) 87209998 Fax: (0574) 87209998

Fujian Branch

Coverage: Fujian Province (except Xiamen)

13721-22

Address: Fl. 21-22, Sino Plaza, No.137 Wusi Road, Fuzhou, Fujian Province, China

350003 Zip: 350003

SWIFT: EIBCCNBJFJB SWIFT: EIBCCNBJFJB

(0591) 28086888 Tel: (0591) 28086888

(0591) 28086868 Fax: (0591) 28086868

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Anhui Branch

Coverage: Anhui Province

6627-28

Address: Fl. 27-28, Huijin Building, No.66 Feixi Road, Hefei, Anhui Province, China

230031 Zip: 230031

SWIFT: EIBCCNBJAHB SWIFT: EIBCCNBJAHB

(0551) 5170666 Tel: (0551) 5170666

(0551) 5170688 Fax: (0551) 5170688

Xinjiang Branch

Coverage: Xinjiang Uyghur Autonomous Region

53 3 13Address: Floor 3 and 13, Finance Building, No.53 Jinyin

Road, Tianshan District, Urumqi, Xinjiang Uyghur Autonomous Region

830002 Zip: 830002

SWIFT: EIBCCNBJWXJ SWIFT: EIBCNBJWXJ

(0991) 2953057 Tel: (0991) 2953057

(0991) 2953059 Fax: (0991) 2953059

Xiamen Branch

Coverage: Xiamen City

9830-31

Address: Floor 30-31, Construction Bank Building, No.98 Lujiangdao Road, Xiamen, Fujian Province, China

361001 Zip: 361001

SWIFT: EIBCCNBJSMB SWIFT: EIBCCNBJSMB

(0592) 3012999 Tel: (0592) 3012999

(0592) 3012919 Fax: (0592) 3012919

Tianjin Branch

Coverage: Tianjin Municipality

245

Address: Fl. 45, Tianjin World Finance Center, No. 2 Dagubei Road, Heping District, Tianjin Municipality

300020 Zip: 300020

SWIFT: EIBCCNBJTJB SWIFT: EIBCCNBJTJB

(022) 83211181 Tel: (022) 83211181

(022) 23298929 Fax: (022) 23298929

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Overseas Representative Offices

Representative Office for Southern & Eastern Africa

13Address: No.13 Fredman Drive, Sandown, 2199 Johannesburg,

South Africa

(0027) 11 7830767 Tel: (0027) 11 7830767

(0027) 11 7846817 Fax: (0027) 11 7846817

Paris Representative Office

6 Address: No.6 Avenue Marceau-75008 Paris, France

0033 (0) 1 47238880 Tel: 0033 (0) 1 47238880

0033 (0) 1 47230410 Fax: 0033 (0) 1 47230410

St. Petersburg Representative Office

19 Address: No.19, Sapyorny Per. Saint-Petersburg, 191014, Russia

007-812-579 3343 Tel: 007-812-579 3343

007-812-579 3977 007-812-579 3977

007-812-579 3981 007-812-579 3981

007-812-579 4830 Fax: 007-812-579 4830

THE EXPORT-IMPORT BANK OF CHINA...Bank made special efforts to support the export of products...

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