The Industrial and Commercial Bank of China (ICBC), the world’s largest commercial lender by assets, has announced the establishment of an 80 billion yuan ($11.04 billion) technology and innovation fund aimed at bolstering the private sector. This fund is strategically directed towards “hard technology” sectors, including semiconductors and advanced manufacturing, rather than “soft” technology areas like internet services.
Liao Lin, ICBC’s chairman, emphasized that the bank intends to transform supportive policies from central leadership into tangible actions that benefit private enterprises. He described the fund as “patient capital,” indicating a focus on long-term investments over immediate returns.
This initiative aligns with China’s recent policy priorities outlined during the annual parliamentary meeting, which highlighted the importance of stimulating consumption and achieving technological advancements amid ongoing geopolitical tensions with the United States. In a related development, China’s state planner announced plans to establish a government-backed fund designed to mobilize 1 trillion yuan from social capital to support technology startups.