CIC will continue to prop up state banks' share prices

China Investment Corp (CIC), the country’s sovereign wealth fund, will continue to buy shares in the three major state-run banks to help them withstand selling pressure, the South China Morning Post reported. Wang Jianxi, CIC’s executive vice president and chief risk officer, committed to supporting the banks in comments made on the sidelines of the Chinese People’s Political Consultative Conference (CPPCC) in Beijing. Central Huijin, a domestic investment agency owned by CIC, is already the largest shareholder in Industrial and Commercial Bank of China, China Construction Bank and Bank of China. Lou Jiwei, chairman of CIC, revealed in January that the fund had been increasing its holdings in the banks for fear of sell-downs following the exit of foreign strategic investors. Wang also said that CIC was interested in buying energy and commodities-related assets due to falling global prices.