Do you need to move your fixed deposit? Bank managers have something to say

Ask AI · How bank executives respond to the wave of fixed-term deposit maturities?

China News Service, April 3 — Wei Wei, intern Li Zhaotong (, deposits have always been the foundation of commercial banks and the cornerstone of credit issuance and asset business expansion.

Recently, the performance release conferences of listed banks for 2025 have been held intensively. China News Service notes that at many of these events, bank management was asked the same question: how to respond to “deposit relocation”?

Faced with upcoming fixed-term deposit maturities, each bank is doing its best to safeguard funds and stabilize deposits. A “stability deposit battle” has already begun.

**　8 banks’ fixed-term deposits account for over 70%**

As of now, 22 A-share listed banks have disclosed their 2025 annual reports. Data shows that total bank deposits have achieved year-on-year growth, with the industry’s overall scale steadily expanding.

In 2025, the total deposits of these 22 banks ) including accrued interest ( amount to 200.28 trillion yuan, an increase of 13.32 trillion yuan from the previous year, with a year-over-year growth rate of 7.12%.

State-owned major banks remain the “ballast stone” of the deposit market. Industrial and Commercial Bank of China, Agricultural Bank of China, and China Construction Bank all have deposit totals exceeding 30 trillion yuan, at 37.31 trillion, 32.65 trillion, and 30.84 trillion yuan respectively, with growth rates of 7.10%, 7.74%, and 7.39%. Bank of China, Postal Savings Bank, and Bank of Communications have deposit totals of 26.18 trillion, 16.54 trillion, and 9.31 trillion yuan.

Five banks saw double-digit growth in total deposits, with city commercial banks and rural commercial banks performing even more impressively. Among them, Chongqing Bank’s deposits reached 2M yuan in 2025, a 19.32% increase; Qingdao Bank followed closely with 133.2k yuan, up 15.49%; Zhengzhou Bank, Wuxi Rural Commercial Bank, and Huaxia Bank saw increases of 14.97%, 10.47%, and 10.32% respectively.

In comparison, deposits at Everbright Bank, Ping An Bank, and Minsheng Bank grew more slowly, at 1.65%, 1.15%, and 0.35% respectively.

Regarding deposit structure, fixed-term deposits remain the main theme of the industry. Among the 22 banks, only Minsheng Bank’s fixed-term deposits decreased slightly by 0.09% year-over-year, while the other 21 banks saw increases. Notably, Zhengzhou Bank’s fixed-term deposits surged by 27.98%; Qingdao Bank, Chongqing Bank, and Ruifeng Bank increased by 19.25%, 18.94%, and 18.75% respectively.

Additionally, the proportion of fixed-term deposits is generally rising. Of the 22 banks, 17 saw an increase in this indicator compared to 2024, with only Minsheng Bank, Ping An Bank, Huaxia Bank, Chongqing Bank, and Wuxi Rural Commercial Bank experiencing declines. Eight banks have fixed-term deposit proportions exceeding 70%, with Chongqing Bank and Chongqing Rural Bank leading at 75.27% and 74.27%.

**　Banks respond to the scale of fixed-term deposit maturities**

Entering 2026, market attention to the maturity and re-pricing of bank fixed-term deposits continues to rise. Estimates from various institutions suggest that this year, between 50 trillion and 70 trillion yuan of fixed-term deposits will mature, and these funds may be redistributed across banking deposits, wealth management, funds, dividend insurance, and other channels.

At the performance conferences, the amount of fixed-term deposits maturing and the issue of “deposit relocation” were frequently discussed. Many bank executives admitted that the scale of maturing deposits has increased compared to previous years but remains within a normal range.

Tang Shuo, Vice President of China Construction Bank, said that in recent years, the bank’s savings deposits have grown rapidly, now exceeding 18 trillion yuan, with fixed-term deposits approaching 12 trillion yuan. The scale of maturing fixed-term deposits has also increased accordingly, but overall the bank’s capacity to absorb these is quite good.

Yang Jun, Vice President of Bank of China, mentioned that since the second half of 2025, the scale of maturing fixed-term deposits at Bank of China has indeed increased. The bank is carefully working to retain these deposits. In practice, most are still retained as deposits, with a high transfer rate for fixed-term deposits. It is expected that fixed-term deposits maturing this year will continue to show this pattern.

“Looking at the amount of fixed-term deposits maturing at China Merchants Bank, it is indeed slightly higher than last year and previous years, but it’s not an abnormal figure. I believe it’s within a normal range,” said Peng Jiawen, Vice President, CFO, and Board Secretary of China Merchants Bank.

Zhou Wanfu, Vice President of Bank of Communications, revealed that the fixed-term deposit maturities at Bank of Communications this year have increased significantly, with a large proportion concentrated in the first quarter.

For banks, the concentration of high-interest deposits maturing presents a risk of scale loss, but from another perspective, it is also a “deleveraging” process.

In recent years, due to severe fixed-term depositization, banks’ liability costs have remained high, and net interest margins (NIM) have been under continuous pressure. Data from the National Financial Regulatory Administration shows that in 2025, the net interest margin of commercial banks fell to 1.42%, below the international warning line of 1.8%. With the re-pricing of high-interest deposits maturing in 2026, this situation is expected to ease.

Zhou Wanfu pointed out that in the past two years, the banking industry generally experienced slower re-pricing of deposits compared to loans, leading to a rapid decline in net interest margins. However, with last year’s reduction in deposit interest rates, after a large number of fixed-term deposits re-priced over the past two years, the cost of paying interest on deposits will decrease significantly.

Yang Jun also mentioned that since current deposit interest rates are lower than those of fixed-term deposits three years ago, the re-pricing of these deposits will lead to a decline in deposit interest expenses, positively impacting the stability of the interest margin.

**　Where are deposits moving to?**

In response to the reallocation of deposits after maturity, banks are not blindly raising interest rates to “grab deposits.” Many banks have clearly stated that they will rely on wealth management, asset allocation, and comprehensive services to achieve internal circulation of funds.

Peng Jiawen believes that “deposit relocation” refers to the loss of fixed-term deposits maturing that year. From the customer’s perspective, if deposits flow into wealth management and public funds, China Merchants Bank hopes to retain these funds within its system through service. Although these may not be on the balance sheet, they are customer funds of China Merchants Bank.

He explained that from a fund perspective, another possibility is that deposits flow into the capital markets, becoming third-party deposits at exchanges, which are recorded as interbank floating deposits by banks. “Deposits are lost, but if we can serve customers so that funds flow back into China Merchants Bank through interbank channels, it’s still deposit loss, but the funds are not truly gone,” he said.

Regarding “deposit relocation,” Wang Jun, Assistant President of Ping An Bank, said that under the background of declining deposit interest rates and improved market investment expectations, he observed a change in risk preferences among individual or retail customers, with a noticeable increase in the proportion of relatively aggressive equity products within a generally prudent main tone. At the same time, demand for diversified product portfolios and allocation schemes has also grown.

Wang Jun pointed out that in response to this market change, Ping An Bank is: first, closely following the market, adjusting the structure of assets and deposits; second, meeting customer needs by providing portfolio products and allocation services.

“From the results, some deposits are not lost but are instead transformed into more effective asset structures within our asset allocation system,” Wang Jun said. Regarding the changes in deposits expected in 2026, Ping An Bank will: first, manage long-term deposit maturities without simply renewing at high prices; second, leverage integrated online and offline asset allocation services to match wealth management products with customer needs; and third, continuously improve high-quality deposit development through scenario building.

Tang Shuo analyzed that during the “14th Five-Year Plan,” the structure of residents’ financial asset allocation has changed, with funds flowing into funds and new formats, and this trend is expected to continue during the “15th Five-Year Plan.” Going forward, China Construction Bank will continue enriching its wealth management offerings and provide differentiated solutions based on customer preferences.

) For more reporting tips, please contact the author Wei Wei: weiwei@chinanews.com.cn ( China News Service APP )

**　The viewpoints in this article are for reference only and do not constitute investment advice. Investing involves risks; please proceed with caution. (**

Editor: Xue Yufei, Li Zhongyuan