CCB Maintains Stable Asset Quality Despite Economic Slowdown

We believe CCB's strong deposit franchise and good-quality customer base are key differentiating factors among Chinese bank peers, leveraging its extensive offline network and entrenched ties with household and corporate customers. Though its deposit strength is overshadowed by ongoing industry headwinds including rising deposit migration to time deposits and longer-term deposits as consumer confidence remains weak. We expect the banks' net interest margin should outperform when the business activities recover.