Following the down reduction of the Chinese government's credit rating outlook, US credit rating agency Moody's Wednesday (December 6) has reduced the eight banks' rating outlook from "stability" to "negative".
According to Bloomberg, Moody's announcement stated that the lowering outlook for the eight banks in China is mainly related to the reduction of China's credit rating outlook.
It is reported that the above -mentioned eight banks are China Agricultural Development Bank, National Development Bank, China Import and Export Bank, Agricultural Bank of China, Bank of China, China Construction Bank, Industrial and Commercial Bank of China and China Postal Savings Bank.
Moody's on Wednesday also reduced the rating outlook of 18 Chinese companies from stability to negative, including Alibaba, Tencent, etc.One day before, Moody's outlook for the Chinese government's credit rating was reduced from stability to negative, the reason is the expectations of slowing economic growth and the risk of the real estate market.
Following the decision of Moody's decision to reduce the rating outlook for Moody's sub -rating outlook on Tuesday (December 5), the Chinese Ministry of Foreign Affairs and the National Development and Reform Commission also responded on Wednesday.The economic fundamentals have not changed, and they are confident and capable of achieving long -term stable economic development.
Moody's also reduced the Hong Kong rating outlook from "stability" to "negative" on Wednesday. This is the first time in Hong Kong that Hong Kong has lost its "stable" rating outlook since January 2020.Moody's claims that the low rating outlook is closely linked to Hong Kong and mainland China. This rating changes also reflect Moody's close connection with Hong Kong and mainland China in politics, systems, economy and finance.
