Formerly known as Tai Fung moneychanger founded 60 years ago in 1942, Tai Fung Bank was approved to become the first locally registered bank upon the promulgation of Macau’s Decree-Law of Banking in 1971. In September 1984, Bank of China joined the Bank with new capital and became one of its shareholders holding 50% of the shares. As a result of energetic innovation introduced in the recent years, the Bank has diversified. Now, it has 20 branches in Macau. Besides, a representative office was set up years ago in Guangzhou to facilitate economic and trade information exchange between Guangdong and Macau. Thanks to the reform achieved in the late 80’s and follow-up consolidation in the 90’s, the Bank has , for years since 1996, earned itself being named among the top 1000 world banks by The Banker, the UK financial monthly magazine. Also, for eight years from 1994 to 2001, the Asiaweek ranked the Bank within the top 500 banks in the Asian Pacific region.

Since the 9-11 incident in the United States, global economic downturn has persisted without sign of recovery. Furthermore, the turbluent situation in the Middle East has brought along negative impacts on world economy. As affected by these external factors, the banking sector in Macau has inevitably suffered. However, in 2001, the SAR government hammered out a decision to focus on tourism and entertainment industry with first priority for future development, a positioning that has drummed up the local surrounding economy. Due to this promising outlook, market confidence was mounted with fresh impetuses. Meanwhile, the rapid and sustained growth in Mainland China has also served as driving forces to Macau’s economy.

With the steadily improving economy, the banking industry was able to witness a small turnaround in business for the past year. Capital demand had a slight increase. The Bank attained a stable business growth in 2002. Compared with that of the previous year, customer deposits achieved satisfactory results with 8% rise at year-end. Value of the Bank’s total assets went up by 8.7%. Non-performing loans dropped by 10.5%. Earnings after tax soared by 10.8%. All these have been attributed to the Bank’s good efforts in clearing off non-performing loans, enlarging market share by capitalizing on the advantages of the Bank’s extensive branch outlets, and controlling operational expenditures on a stringent but rational basis. During the year of 2002, by strengthening services and constantly exploring new banking products in response to the need of the market, the Bank’s business on customer financial investments remarkably outperformed a falling market. Securities business turnover recorded 27.3% increase from the previous year, whilst the upgraded communication facility related to Flexi-Investment secured the effect desired. To keep abreast with hi-tech development and to meet quality service requirements, we have never ceased upgrading our computer configuration. The diskette operation system, which was renewed in 2002, had raised data safety. The phone banking system revamped had added greater flexibility to our securities dealing operation. The Internet Banking services, which are scheduled to be operational by the middle of next year, will enable our clients to transact speedily and casually. Service diversification is always our long-term policy. To keep in line with the Monetary Authority of Macau implementing their policies, the Bank has fully acted in accordance with the Anti-money Laundering Guidance, and has established Asset and Liability and Risk Management Committee so as to reinforce risk management and corporate governance. In the firm conviction of no business expansion without prudence, the Bank has for years managed to maintain ratios of its capital adequacy and tier one capital at an ideal and stable level.

As Macau’s economic recovery is expected to extend into the year 2003, there will be new opportunities for the local banking industry. We will continue to improve our asset portfolio by reducing the Bank’s non-performing loans, pursuing sound development on a fortified foundation, and further elevating the quality of our services. With a good customer base and close relationship, we have grown together with the community of Macau through the course of wax and wane over the past 60 years. Aiming at “serving Macau in step with time”, we will carry forward into the future our mission to contribute to the growth of the local financial industry as well as to the stability of the community.

In August 5, 2002, we relocated our Sha Lee Tou Branch to a more spacious premise and renamed as Pou Choi Branch. In August 5, 2002, we relocated our Sha Lee Tou Branch to a more spacious premise and renamed as Pou Choi Branch.

Support extended to Tung Sin Tong, the charitable organization in Macau, in its donation activities.

Awardees of the 10-year Long Service Award.

Stronger team spirit was fostered through organizing different friendly competitions for staff members