China Huarong Maps Out the 14th Five-Year Plan for Development
The 14th Five-Year Plan period is a critical period for China Huarong to consolidate its foundation, seek progress while maintaining stability, improve quality and efficiency, and promote high-quality development. The Company will, guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, resolutely implement the new development concept and the Party Central Committee’s financial work deployment under the leadership of the CITIC Group, seize new opportunities, demonstrate new actions, and present a new atmosphere. The Company will undertake the development mission of “practicing national strategy, serving the real economy and resolving financial risks”, adhere to the development vision of “focusing on the main business of non-performing assets and building a first-class financial asset management company”, and fully realize the “one-three-five” strategic goal of “getting on the right track in one year, significantly improving the quality and efficiency in three years, and becoming the industry benchmark in five years”.
The Company will focus on the main business of non-performing assets, give play to the four major business functions of “disposal of distressed assets, revitalization of problematic projects, restructuring of troubled enterprises and relief of institutions in crisis”, fully revitalize stock assets, and promote the high-quality development of incremental business. Firstly, optimize the investment in incremental business and create core advantages of the principal business. The Company will adjust the industry layout, improve the regional layout and gradually advance the asset allocation performance. Secondly, innovate business models and cultivate new profit growth poles. The Company will grasp business opportunities such as acquisition-and-disposals, bankruptcy reorganization, state-owned-enterprise reform, relief on real estate enterprises and listed companies, default debt acquisition, S fund acquisition, bailout of small and medium-sized financial institutions, entrusted disposal, consulting and financial advisor, and provide professional financial services for “broad non-performing assets”. Thirdly, strengthen customer marketing management and continuously optimize customer structure. The Company will fully tap customer needs, continue to strengthen customer hierarchical management and build a market-oriented and customer-centric marketing system.
The Company will focus on key and difficult issues and make efforts to promote the smooth realization of strategic objectives by focusing on coordination, transformation and reform. Firstly, strengthen coordination. Relying on the support of major shareholders, especially the advantages of CITIC Group in both industry and finance, we will create a differentiated competitive advantage in the main business of non-performing assets, and strengthen the coordination of risk disposal, business development, management and talent. Secondly, accelerate the transformation. The Company will comply with the changes in the internal and external environment, accelerate the transformation of development concept and development mode, and take priority to the “three major transformation directions” of strategic control, business innovation and risk control. Thirdly, deepening reform. We will crack deep-seated institutional and mechanism problems, stimulate endogenous development momentum, and implement the four major projects of “strengthening the foundation through reform” of institutional reform, a market-oriented reform, technology empowerment, and the plan of “broadening sources of income and reducing expenditure”.
The Company will strengthen the four guarantee measures on Party building, corporate governance, talent fostering and culture cultivation to achieve higher quality, more efficient and more sustainable development. Firstly, achieve high-quality development under the guidance of Party building. Secondly, improve the scientific decision-making and promote corporate governance to a new level. Thirdly, build a high-quality professional talent team that is loyal, clean and responsible to provide strong support for high-quality development. Fourthly, strengthen the cultivation of corporate culture and enhance the cohesion of the company staff.
During the 14th Five-Year Plan period, China Huarong will strive to build the new development pattern of “guidance on effective governance, prominent core business, stable profit and excellent quality”, win the battle of risk resolution, transformation and development, and lay a solid foundation for becoming an industry benchmark.