Key facts
- Chinese global systemically important banks (G-Sibs) reported their highest credit-loss charges since the Covid-era peak in Q1 2026.
- Aggregate provisions for credit losses across the five G-Sibs increased by 155 billion yuan ($22 billion) from the previous quarter.
- Total provisions for credit losses reached 257 billion yuan in Q1 2026.
- Agricultural Bank of China (ABC) significantly contributed to the rise, shifting from a provision release to a substantial charge.
China's global systemically important banks (G-Sibs) experienced their largest credit-loss charges since the peak of the Covid-19 pandemic in the first quarter of 2026. The aggregate provisions for credit losses across the country's five largest banks surged by 155 billion yuan ($22 billion) from the previous quarter to reach 257 billion yuan. The Agricultural Bank of China (ABC) was a primary driver of this increase, transitioning from a small provision release in the fourth quarter of 2025 to a significant provision in the first quarter of 2026.