China's big bank shares mixed after $72bn capital injection unveiled

Finance ministry says funding will help institutions be 'main force' for economy

A view of Shanghai's financial district. China's Ministry of Finance says the announced capital injection will help the four state-owned banks to "further strengthen their capacity for sound operations." © Reuters

WATARU SUZUKI

March 31, 2025 12:11 JST

Updated on March 31, 2025 18:53 JST

HONG KONG -- Shares of China's top state banks were mixed on Monday after four of them announced plans the day before to raise a combined 520 billion yuan ($71.7 billion) by issuing new shares amid a broad market sell-off.

The four banks -- China Construction Bank, Bank of China, Bank of Communications and Postal Savings Bank of China -- all opened higher on mainland exchanges. The stocks temporarily wobbled, with BoCom slipping into negative territory, before they all closed up. The CSI 300 Index, a gauge of mainland-listed stocks, fell 0.7%.