Bank of China, China's fourth-largest lender, reported first-half net profit of 84.1 billion yuan ($13.74 billion), up 13 percent year-on-year.

Its ratio of non-performing loans, which are loans that have defaulted or are close to being in default, was 0.93 by the end of the second quarter, down from 0.95 percent at the end of 2012.

Funding costs declined and the average cost of domestic yuan deposits was 3.68 percent, down from 4.21 percent last year.

BOC reported its net interest margin at 2.23 percent in the first half, up from 2.22 percent in the first quarter.

President Li Lihui said that its net interest margin will stay stable for the rest of the year.