S&P affirms China A+/A-1 ratings, with stable outlook

Dhwani Mehta FXStreet

S&P Global Ratings, in its latest report, affirmed China’s sovereign credit ratings at A+/A-1 while maintaining a Stable outlook.

Key takeaways

“China is likely to maintain above-average economic growth performance relative to other middle-income economies in the next few years."

"China's growth is likely to come under pressure of uncertainties over COVID-19, US-China tensions, ongoing efforts to restructure the economy."

"China's stable outlook reflects the view that it'll maintain above-average headline GDP growth, improve its fiscal performance over the next 3 to 4 years."

"Expect China's per capita real GDP growth to average 5.5% annually in 2021-2023, as the economy recovers from COVID-19 shock."

"Do not expect US-China relations to normalize in the foreseeable future.”

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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