Credit rating downgrade in Hong Kong For reasons of political instability
Fitch Ratings, a major rating agency, has received a rating that indicates the creditworthiness of its foreign currency-denominated bonds from the previous “AA +” in response to ongoing political unrest, including prolonged protests in Hong Kong. Reduced the stage.
In Hong Kong, it was announced that the proposed amendment of the ordinance that would allow the suspects to be handed over to mainland China, the origin of the protests, was announced, but the protests by citizens continued and the confusion converged. It ’s still unclear.
In response, Fitch Ratings, a major rating agency, has lowered the credit rating of foreign currency bonds in Hong Kong by one step from “AA +”, the second from the top, to “AA”.
For this reason, Fitch points out that Hong Kong's governance system, confidence in the rule of law is undermined, and the stability of the business environment is questioned.
In Hong Kong, where the turmoil continues, the number of tourists visiting the area is decreasing, and the impact on the tourism industry has begun to appear. If this situation continues, Hong Kong's role as a financial center in Asia will decline. There are also concerns.