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DBS: Bank of Communications Co Ltd – BUY TP HK$6.70

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Improving liability structure to stabilise NIM

NIM to stabilise with further cut in high-cost liabilities 

Expect 7% fee income CAGR in FY22-24F, driven by WM and bank card strategy 

Improving asset quality with 1.48% NPL in FY21 

Reinstate coverage with BUY and TP at HK$ 6.70

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