China Construction Bank Corporation (“CCB”) and Temasek Holdings (Private) Limited (“Temasek”) have reached agreement on the strategic cooperation between the two companies. On July 1, 2005, CCB and Asia Financial Holdings Pte. Ltd. (“AFH”), a wholly-owned subsidiary of Temasek, signed a definitive agreement in connection with the strategic investment in CCB. Pursuant to the agreement, Temasek will invest in CCB through AFH. AFH will invest US$1 billion at the IPO price during CCB’s planned international IPO, and will purchase certain existing shares from China SAFE Investments Ltd. subject to regulatory approvals.

Subject to mutual agreement, AFH will assist CCB in improving corporate governance, including the right to nominate suitable candidates for election to CCB’s board of directors. Other areas of collaboration and support are under discussions.

CCB’s successful establishment of the strategic partnership with Temasek follows the signing of the strategic investment agreement with the Bank of America on June 17, 2005. It demonstrates that CCB has taken another important step forward in deepening reform, bringing in strategic investors and improving corporate governance. In the meanwhile, it also signifies that the CCB’s endeavor to bring in strategic investors has almost been completed.

CCB was advised in this transaction by China International Capital Corporation and Morgan Stanley.

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CCB is the second largest commercial bank in China (source: The Almanac of China’s Finance and Banking 2004) providing a comprehensive range of commercial banking products and services primarily to domestic corporate and retail customers in China. CCB operates an extensive national network of approximately 14,500 branches and approximately 12,500 ATMs and is one of the largest providers of residential mortgages in China. CCB had approximately 12% share of total loans and approximately 13% share of total deposits in China at the end of 2004. As of December 31, 2004, CCB had approximately RMB 3,910 billion in assets.

Temasek Holdings (Private) Limited ("Temasek") is an Asia investment company headquartered in Singapore. It is committed to maximising long-term shareholder value as an active investor and shareholder of successful enterprises. Established in 1974, Temasek manages a diversified global portfolio of US$54 billion, spanning Singapore, Asia and the OECD economies. Its investments are in a range of industries such as telecommunications and media, financial services, property, transportation and logistics. In the financial sector, Temasek has invested in several banks in Asia.

Forward-Looking Statements

This press release contains forward-looking statements. The forward-looking statements involve certain risks and uncertainties.

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This press release is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that will contain detailed information about the company and management, as well as financial statements.