• Supporting the state's Infrastructure development initiatives, basic industries and pillar industries
• Promoting coordination in regional development and restructuring key industries
• Facilitating the development of new rural communities
• Focusing on initiatives that enhance people's livelihood through supporting sectors that have traditionally been faced with funding constraints
• Steadily promoting international cooperation and supporting the implementation of the state's "go global" strategy
• Prioritizing planning, enhancing financial services and deepening financing cooperation

Supporting the state's infrastructure development initiatives, basic industries and pillar industries

Since its inception, CDB has always supported the development of the State's infrastructure and its basic and pillar industries. The Bank's main business development and lending targets have included and will continue to include the following key sectors: electric power, road, railway, petroleum & petro-chemicals, coal, post & telecommunication, agriculture, forestry and water conservation, and public infrastructure. In doing so, the Bank has provided strong support to a long list of national key projects, including the South-to-North Water Diversion, the 2008 Beijing Olympics, the 2010 Shanghai World Expo and the Shougang Group relocation project.

Electric Power

The power industry is one of the basic industries vital to the economic viability of the State and the livelihood of its people. CDB has provided significant financial support to many world-class power generation and power transmission/distribution projects in China including the Three Gorges Power Plant, Xiluodu and Xiangjiaba Hydropower Plants on the Jinshajiang River, the Gongboxia Hydropower Plant on the Yellow River, Tianwan and Ling'ao Nuclear Power Plants, the West-to-East Power Transmission Project and the North-and-South Mutual Transmission Project. As of the end of 2007, the Bank's outstanding loans to this sector were RMB 424.17 billion.

Road

Road construction is a key infrastructure sector that remains a priority for the Bank, especially including the construction of the major roads in the national network as well as primary roads in the rural regions. As of the end of 2007, the Bank's outstanding loans to this sector were RMB 491.06 billion.

Railway

Railway is one of the most critical elements of the infrastructure of the State, which has merited the Bank's strong support. In support of the State's Eleventh Five-year Plan on Railways, the Bank has established a strategic cooperative partnership with the Ministry of Railways. The Bank has committed lending amounting to nearly RMB 240.0 billion to finance the construction of a high-speed passenger railway network of "four longitudinal lines and four latitudinal lines" running across the vast land. Further, the Bank has made significant contributions to the construction of key railways in the midwestern China, including the Baotou-Xi'an and Taiyuan-Zhongwei-Yinchuan Railways. As of the end of 2007, the Bank's outstanding loans to this sector were RMB 69.71 billion.

Petroleum and petro-chemicals

The Bank pays special attention to the key industries of petroleum, petro-chemicals, natural gas and oil & gas pipelines. CDB has played an active role in supporting national key projects, including the State Strategic Oil Reserve Base, the PetroChina Daqing Oilfield, the CNOOC Bohai Oilfield, and the Shaanxi-Beijing Natural Gas Pipeline. As of the end of 2007, CDB's loan balance in this sector reached RMB 103.94 billion.

Coal

The coal industry is vital to the State's economy and stability of its energy supply. During the past ten years, under the principle of prioritizing "large enterprises, large bases, large projects", the Bank has helped to develop 13 large coal production bases and to nurture large coal enterprise groups in China. CDB has contributed significantly to key projects covering areas such as the development of backbone mines for a large coal production base, coal-electricity generation integration, the development of advanced coal chemical industry, the strategic restructuring of the coal industry and the integration of coal resources. As of the end of 2007, CDB had made total loans amounting to RMB 31.69 billion for coal-related projects.

Post and telecommunication

Post and telecommunication constitutes a pillar industry to promote the national economy and drive the industrial structural upgrade and reforms. It is also a strategic industry underlying the growth of overall national strength and competitiveness. CDB has not only supported large-scale network construction for CNC China and China Railcom, but also provided strong financial support to communication equipment manufacturing enterprises that have independent R&D capabilities, such as Huawei Technologies Co., Ltd., ZTE Corporation and Datang Telecom. As of the end of 2007, CDB had outstanding loans of RMB 59.35 billion to the post and telecommunication sector.

Agricultural and related industries

Infrastructure construction of agricultural and related industries has always been a focus of CDB's business development and financial planning. CDB has supported a number of projects that improve the level of agricultural technology and industrialization. As of the end of 2007, CDB's outstanding loans to agricultural and related industries reached RMB 47.03 billion.

Public infrastructure

Public infrastructure is the foundation of urban development in China. The Bank has strengthened its support in urban and rural integration, comprehensive urban environment improvement, new economic zones and metropolitan subway sectors, which has significantly enhanced the local economy development. For example, the Bank has actively supported the construction of Beijing Metro Line 9 and the Airport Line to meet the funding requirement from Olympics-related projects. As of the end of 2007, CDB had outstanding loans of RMB 636.27 billion to public infrastructure projects.

Promoting coordination in regional development and restructuring key industries

In line with its overall planned objective to achieve sustainable economic development, the government has adopted a strategy to drive the integration of the country's Eastern, Central & Western regions, continue with significant development in the West, revitalize the old industry bases of Northeast China, promote the rise of the Central region and encourage the Eastern regions to take the lead in development. In response to the State's Strategy of Regional Development, CDB continues to play a pivotal role in strategic restructuring and deployment.

In line with government policies, CDB has strictly controlled new lending to high-energy-consuming and high-pollution projects. CDB has supported many energy saving and pollution reduction projects while facilitated industry restructuring and technology upgrades. In the iron and steel sector, it has supported Shougang Group and Chongqing Iron and Steel Co., Ltd. in their relocation for environmental protection purposes, and BaoSteel's and Hualing Steel's initiatives on energy conservation, emission reduction and industry restructuring. In the petroleum sector, the Bank has supported both PetroChina and Sinopec's technology upgrades and environmental protection projects.

Improving the capability for independent innovation and building an innovative nation is at the core of the State's development strategy and critical to the growth of the overall strength and competitiveness of China. CDB has provided increased funding to facilitate technological innovation and industrialization initiatives with aggregate lending amounting to RMB 59.37 billion as of the end of 2007, an increase of 18.03% over that of 2006.

Facilitating the development of new rural communities

In conjunction with national development strategies and goals, the Bank has taken the initiative to focus on efforts that facilitate the development of new rural communities to enhance social harmony.

Focusing on initiatives that enhance people's livelihood through supporting sectors that have traditionally been faced with funding constraints

As early as 2003, while supporting large infrastructure projects, the Bank has gradually increased its focus on selected areas that are believed critical to promoting sustainable economic development and social harmony. These areas, namely the SME sector, the provision of housing for low-income individuals, education, medical and health care programs, energy conservation and pollution reduction, have historically lagged behind in part due to a lack of financial support.

SMEs are one of the most active forces in the growth of national economy. However, the growth of SMEs has historically been restrained by difficulties in identifying and securing appropriate and affordable financing. The Bank's lending business has been extended to cover SMEs in all provinces, cities and autonomous regions in the mainland with the exception of Tibet.

To let its people, especially those low-income families, live decently in their own houses, is a major priority in the nation's efforts to build a harmonious society. The Bank is also involved in supporting the construction of affordable quality housing for low-income families in the urban areas, focusing on expanding the construction of low-rent houses, speeding up the rebuilding of shelter clusters and driving the renovation of old residential complexes. In this respect, the Bank's funding support has been vital to ensure the timely roll-out and smooth progress of shelter renovation projects in Liaoning and Jilin Provinces, making dreams come true for low-income urban citizens.

Sustainable economic and social development requires the support of consistent quality education. It underpins both national strength and international competitiveness. The Bank is committed to the development of its initiatives of school infrastructure construction, university student loan, and hometown credit lending for students. These initiatives have largely benefited financially disadvantaged students so that they are able to study in adequate conditions and pursue their dreams of higher education.

Medical and health care is of foremost concern to the people's interests and overall well-being. CDB has made great efforts in the building of rural medical and health care infrastructure and the enhancement of health care services. The Bank has extended its rural health care loans all across the country, with the aim of covering the majority of counties in China and speeding up the alleviation of difficulties in the access to medical and health care that has prevailed in rural areas.

For many years, the rapid development of China's economy has put heavy pressure on its already fragile ecological environment. It is now an urgent issue to find a way to promote sustainable development, so that the development of economy and society may co-exist with the supply of resources without degradation to the environment. Environmental protection, energy conservation and emission reduction are key areas where the Bank has focused its financing effort. Loans are being made to key projects treating the condition of Taihu Lake and Chaohu Lake. The Bank is also supporting key projects in areas including industrial pollution treatment, the protection of the water environment in the cities and the treatment of solid waste in the cities.

Natural disasters and significant emergencies threaten the security of people's lives and the safety of their property. The Bank has established an "emergency response system" on the basis of the Bank's "emergency response plan" for dealing with disaster relief. Under this plan in 2007, the Bank disbursed 164 emergency loans with total amount of RMB 3.2 billion to 26 provinces. These loans assisted in relief for the victims of emergencies and natural disasters, such as the flooding in the Chongqing Shapingba District, typhoons in the southeast  regions, the sustained drought in Hainan and the earthquakes in Jiujiang and Pu'er Yunnan.

Steadily promoting international cooperation and supporting the implementation of the state's "go global" strategy

As the largest developing country in the world, China has the will and responsibility to share the story of its success with other developing countries. The Bank has continued to maintain its support for a large number of major Chinese enterprises in their strategies of expanding their business overseas, inviting foreign investment, and enhancing international cooperation. By the end of 2007, there were 180 international projects supported by the Bank with a total loan balance of USD 18.189 billion.

In 2007, CDB actively participated in a number of significant international financing projects that received great attention from the government and enterprises. In Europe and Asia, the Bank participated in international syndicated loan projects of Russia Aluminum Industry United Company, Dubai World, Qtel (Qatar Telecom) and Hazak Commercial Bank. In the Asia-Pacific Region, the Bank facilitated the Australian iron mine project, the Indian telecommunication project and the power plant project in Indonesia are progressing soundly. In America, the Bank helped China Aluminum Corporation to acquire the Peru Copper Inc., and established a cooperative relationship with Corporación Andina de Fomento (CAF). In Africa, the Bank made great progress in cooperation with South Africa, Kenya, Uganda and Guinea, and established ongoing relationships with regional multilateral development-oriented financial institutions such as the African Development Bank, West African Development Bank and the Sino-Africa Development Bank.

Prioritizing planning, enhancing financial services and deepening financing cooperation

The Bank has achieved significant success in development-oriented financing cooperation in recent years, as is evidenced through the Bank's support in design and implementation of local-level financial systems, the restructuring of local financial institutions and the construction of village-level banks.