Why doesn't Xinzheng Rural Commercial Bank pay equity dividends?

As a special financial institution, rural commercial banks' share dividends are different from those of common joint-stock enterprises. The main reasons for the small share dividends of rural commercial banks are as follows:

1. The statutory profit retention rate of rural commercial banks is relatively high: According to relevant regulations, the statutory profit retention rate of rural commercial banks is generally above 30%, that is, the proportion of equity dividends is low.

2. The profit model of rural commercial banks is relatively stable: the profit model of rural commercial banks is relatively stable, supported by policies, and the operating risk is relatively small. Therefore, compared with enterprises in other industries, the dividend ratio of rural commercial banks is low.

3. Rural commercial banks have a high degree of equity dispersion: due to the high degree of equity dispersion of rural commercial banks, there is no clear controlling shareholder, which also leads to a relatively low proportion of equity dividends.