Standard & Poor’s Ratings Services raised its long-term sovereign credit rating on the People’s Republic of China on July 27 to A from A-. The outlook is stable. At the same time, Standard & Poor’s raised its long-term credit ratings on China Development Bank and Export-Import Bank of China to A from A-. The outlooks on the banks are stable. The ratings reflect their sovereign parent.
Also on July 27, Standard & Poor’s Ratings Services raised the long-term credit rating on Hong Kong Special Administrative Region to AA from AA-. The outlook for the rating is stable.
What’s behind the upgrades for China and Hong Kong? Here, S&P explains its rationale for each:[Full Text]