Chinese banking shares led the gains in Hong Kong trading. As of press time, CQRC BANK (03618) rose 3.73% to HK$6.53, ABC (01288) gained 2.24% to HK$6.63, CM BANK (03968) advanced 2.20% to HK$53.35, CCB (00939) climbed 1.54% to HK$9.885, and ICBC (01398) added 1.20% to HK$7.59.

On the news front, 21 A-share listed banks have so far disclosed their 2026 interim dividend plans, with total proposed payouts exceeding RMB 260 billion. Among them, 15 banks raised their dividend payout ratios compared with last year. The six largest state-owned banks uniformly lifted their cash dividend payout ratio from 30% to 31%, with combined proposed payouts exceeding RMB 220 billion, accounting for more than 80% of the total.

According to a research note from KYSEC, PSL rate cuts and the expansion of the six major network initiatives are unlocking credit for infrastructure and strategic projects. Syndicated loans have long been dominated by the large state-owned banks, and policy benefits are expected to be realized first. The support ratio for sci-tech innovation and technical transformation relending has been upgraded again, and large state-owned banks, leveraging their customer base, risk control systems, and existing scale, are capturing a larger share of lending, further amplifying economies of scale. Beneficiaries include ICBC, CCB, and ABC, among others.