Bank of China and ADB Enter into Strategic Investment Arrangement

Beijing, 10 October, 2005 Bank of China Limited ( Bank of China ) and Asian Development Bank ( ADB ) announced today that, following negotiations and discussions by the two entities, ADB will make a US$75 million equity investment in Bank of China, which is subject to a lock-up period of three years. This transaction is pending relevant government approvals.

Along with other investment agreements already signed by RBS, Temasek affiliate Asia Financial Holdings and UBS, the agreement signed between Bank of China and ADB represents a major milestone in the reform of Bank of China through the introduction of foreign strategic investors.

As a strategic investor, ADB will cooperate with Bank of China to improve its corporate governance, provide technical assistance in formulating policies and procedures on internal control, anti-money laundering and environmental protection, and promote sustainable development of China s economy.

-- End --

About Bank of China

Bank of China is the most international commercial bank in China, with the longest history and strongest capital base. The bank is ranked 18th among the world s largest 1,000 banks, and ranked first in Asia and mainland China, in terms of core capital by The Banker magazine. Bank of China s network covers 27 countries and regions around the world, as well as 31 provinces, municipalities and autonomous zones and over 300 cities in mainland China.

In Hong Kong and Macao, Bank of China is one of the local note-issuing banks. As at the end of December 2004, Bank of China had 11,307 domestic branches, 603 overseas branches and subsidiaries, and a total of 240,000 employees.

About ADB

ADB is a multilateral development finance institution dedicated to reducing poverty in Asia and the Pacific. Established in 1966, ADB are now owned by 63 members, mostly from the region. Headquartered in Manila, ADB have 26 other offices around the world with more than 2,000 staff from over 50 countries.