S&P Global Rates China Domestic Issuer In First By Foreign Agency

www.oann.com | 7/11/2019 | Staff
SHANGHAI (Reuters) – The Beijing-based unit of S&P Global on Thursday became the first international credit rating agency to rate a domestic issuer in China, a long-awaited step in the development of the country’s $13 trillion bond market.

Chinese bond investors hope that ratings by international agencies will help to shake up domestic counterparts which assign relatively safe AA ratings to the vast majority of issuers, and have come under regulatory fire for operational violations.

S - P - Global - China - Ratings

S&P Global (China) Ratings said it assigned a AAA issuer credit rating to ICBC Financial Leasing Co, with a stable outlook. The AAA rating, S&P’s highest, reflects an issuer’s “extremely strong capacity to meet its financial commitments”, the agency says.

S&P said a mismatch in the durations of ICBC Financial Leasing’s assets and debt presented some liquidity risk, but diverse funding sources and liquidity support from parent Industrial and Commercial Bank of China (ICBC) made the risks “manageable”.

ICBC - Financial - Leasing - ICBCFL

ICBC Financial Leasing (ICBCFL) describes...
(Excerpt) Read more at: www.oann.com
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