Agricultural Bank of China Ltd. - Digital Transformation Strategies

Agricultural Bank of China Ltd. - Digital Transformation Strategies

Summary

Agricultural Bank of China Ltd (ABC) is a bank that offers personal, business, and investment banking; cash, wealth management; custody, payment, and settlement services; agro-business banking; foreign exchange trading; financial market solutions; private banking; and e-banking products and services. In addition, ABC provides deposits, loans and credit facilities, credit cards, payment and collection, investment products, mobile and online banking. ABC serves individuals, SMEs, corporates, agribusinesses, and financial institutions. The bank has an operational presence across the Asia Pacific, Europe, Middle East, and the Americas.

In 2021, ABC launched a fintech innovation center in Xiong’an, China. The innovation center will support the development of Xiong’an as a smart city with IoT, blockchain, AI, cloud computing, and other technologies. ABC will also test the digital yuan in Xiong’an and develop e-CNY hardware wallets with features such as offline payment and controllable anonymity.

In 2020, ABC formulated its Short-term Information Technology Development Plan (2020-2021) in which seven technologies, six middle offices, five pillars, and two guarantees were proposed to promote its ‘iABC’ strategy in information technology to build an intelligent, users oriented fintech solution. Seven technologies included cloud computing, big data, AI, distributed architecture research and development and application, blockchain, information security, and innovation in network technology.

This report provides insight into Agricultural Bank of China's fintech activities, including its digital transformation strategies, its innovation programs, its technology initiatives, its estimated ICT budget, and its major ICT contracts.

Scope

• ABC implemented digital transformation in four key areas: technology support, smart channel construction, enterprise-level architecture, and big data application. During 2021, it advanced development of basic framework of digital transformation, achieving a series of landmark application results. Projects such as smart marketing, smart risk control, and middle-end data platform, were promoted smoothly, solidifying foundational support for its digital transformation.
• The bank accelerated the construction of cloud service center for remote banking to improve integrated operations and customer service capabilities. ABC upgraded its smart robot and expanded online customer services access to enhance customer experience. The bank made improvements to its digital risk management system and control system to secure its operational safety.
• The bank set up a fintech innovation center in Xiong’an and built an innovation incubation center and a pilot field for innovation achievements. Regarding big data technology, the bank focused on in-depth data integration and common data accumulation, while the big data platform provided one-stop exclusive data services.

• Gain insights into ABC's tech operations.
• Gain insights into its tech strategies and innovation initiatives.
• Gain insights into its technology themes under focus.
• Gain insights into various product launches, partnerships, and investment strategies.