- After K-pop, K-novels? South Korean Nobel win sparks joy, hope at home
- After Nadal exit, Djokovic left to rage against dying of the light
- A very stiff breeze: BBC says sorry for 20,000 kph wind forecast
- Triple centurion Brook happy to break Dad's club record
- Zelensky touts 'victory plan' against Russia in Macron talks
- Musk finally unveiling his long-promised robotaxi
- UN peacekeepers accuses Israel of firing on Lebanon HQ
- London's Frieze art fair goes potty for ceramics
- Southgate taking year out from coaching
- US, Europe stocks fall on US inflation data
- Zelensky meets Macron in Paris as part of European tour
- Hurricane Milton shreds Florida stadium roof
- UN probe accuses Israel of seeking to 'destroy' Gaza healthcare
- US consumer inflation eases to 2.4% in September
- England in sight of victory after Brook's triple hundred
- Juventus readmitted to ECA after failed Super League revolt
- World number 2 Alcaraz knocked out of Shanghai Masters by Machac
- Leaders of Egypt, Eritrea, Somalia meet amid regional tensions
- Klopp's Red Bull decision 'ruined life's work' say Dortmund fans
- Han Kang wins South Korea's first literature Nobel
- S. Korea's Nobel winner Han Kang a modest, thought-provoking writer
- Hurricane Milton tornadoes kill four in Florida amid rescue efforts
- The almost impossible job: Beating Rafael Nadal at the French Open
- New French government faces key test with budget plan
- Rescuers say Israeli strike on Gaza school kills 28
- Italy's ex-world champion gymnast Ferrari announces retirement
- Zelensky talks 'victory plan' in meeting with Starmer, Rutte
- South Korea's Han Kang wins literature Nobel
- Federer lauds retiring Nadal's 'incredible achievements'
- Ikea posts fall in annual sales after lowering prices
- Australia beat China 3-1 to resurrect World Cup campaign
- Stock markets diverge, oil gains after China rebounds
- Nadal defied injury woes in record-breaking career
- Nadal v Djokovic, French Open, 2006: Chapter One in epic rivalry
- World can't 'waste time' trading climate change blame: COP29 hosts
- Pakistan at 23-1 after Brook triple hundred takes England to 823-7
- Zelensky meets Starmer, Rutte on whirlwind tour of Europe
- South Korean same-sex couples make push for marriage equality
- Rafael Nadal calls time on epic tennis career
- Mumbai declares day of mourning for Indian industrialist Ratan Tata
- Philippines confronts China over South China Sea at ASEAN meet
- Kim Sei-young shoots 62 to take two-stroke lead at LPGA Shanghai
- The haircuts that help traumatised Ukrainian soldiers heal
- Sinner crushes Medvedev to set up potential Alcaraz Shanghai semi
- 7-Eleven owner restructures to fight takeover
- England's Harry Brook blasts triple century against Pakistan
- Chinese electric car companies cope with European tariffs
- Zelensky in London for whirlwind tour of Europe ahead of US vote
- Sri Lanka recovering faster than expected: World Bank
- Hong Kong, Shanghai rally as most markets track Wall St record
RBGPF | 4.03% | 63.35 | $ | |
SCS | -2.64% | 12.695 | $ | |
BCC | -1.51% | 140.275 | $ | |
BTI | -0.19% | 35.411 | $ | |
BP | 0.79% | 32.235 | $ | |
RYCEF | 0% | 6.9 | $ | |
RIO | 0.11% | 66.42 | $ | |
NGG | 0.27% | 65.81 | $ | |
GSK | -2.24% | 39.36 | $ | |
VOD | -0.31% | 9.7 | $ | |
CMSC | 0.13% | 24.552 | $ | |
CMSD | 0.64% | 24.84 | $ | |
JRI | -0.08% | 13.209 | $ | |
AZN | -0.89% | 76.825 | $ | |
BCE | -0.94% | 32.999 | $ | |
RELX | -0.64% | 46.415 | $ |
Fitch downgrades China sovereign credit outlook on debt fears
Ratings agency Fitch said Wednesday it had downgraded China's sovereign credit outlook to negative, citing increased risks to the country's public finances, in a move Beijing swiftly called "regrettable".
Chinese officials have struggled for months to kickstart economic growth as they battle a range of headwinds, particularly a prolonged property sector crisis that has fueled fears of wider contagion.
Policymakers have announced a series of targeted measures as well as the issuance of billions of dollars in sovereign bonds, aimed at boosting infrastructure spending and spurring consumption, but analysts have said much more needs to be done.
Beijing last month set a goal of five percent growth for the world's number-two economy in 2024, an ambitious objective that the leaders admitted would be a challenge to meet.
Fitch said its outlook revision "reflects increasing risks to China's public finance outlook" as the country "contends with more uncertain economic prospects".
"Wide fiscal deficits and rising government debt in recent years have eroded fiscal buffers from a ratings perspective," the agency warned.
And it said "fiscal policy is increasingly likely to play an important role in supporting growth in the coming years which could keep debt on a steady upward trend".
It also said projected lower economic growth "exacerbates challenges to managing high economy-wide leverage".
Beijing's finance ministry immediately said the decision was "regrettable".
"From the results, it can be seen that the indicator system of Fitch's sovereign credit rating methodology has failed to effectively and proactively reflect" Beijing's efforts to promote economic growth, it said in a statement.
Beijing has pledged to do more to boost employment and stabilise the property market, though an official last month admitted doing that remained "very difficult".
Real estate companies that "need to go bankrupt should go bankrupt, and those that need restructuring should be restructured", Housing Minister Ni Hong told a news conference on the sidelines of a major political meeting.
Fitch also on Wednesday affirmed China's credit rating at "A+".
It said that move reflected the country's "large and diversified economy, still solid GDP growth prospects relative to peers, integral role in global goods trade, robust external finances, and reserve currency status of the yuan".
But, it added, "these strengths are balanced against high economy-wide leverage, rising fiscal challenges and per capita income and governance scores below those of 'A' category peers"
H.E.Young--AMWN