Credit risk analysis

Banking shares’ wobbles reveal growing unease over credit risks

The markets have weathered a string of credit scares and surprise write-downs over the past two years

Two state-owned banks have decided to reduce interbank lending limits and set shorter maturity periods for smaller peers deemed high risk, says two of the sources.

China's top banks tighten exposure to smaller peers to curb credit risk, sources say

Some of China’s top banks have sharpened scrutiny of smaller peers’ asset quality and have tightened standards for interbank lending, three sources said, in an effort to curb credit risk as a deepenin...

Although the Chinese government has introduced measures to stabilise the property market, the tight funding environment, concerns about slowing economic growth and the risk of project incompletion weigh on property sales.

Credit trend for Apac corporates stable but risks remain

Credit trend for non-financial companies in the Asia-Pacific (Apac) region will remain stable for the rest of the year, although risks are rising, said Moody’s Investors Service.

UBS expects US corporate credit spreads to retest this year’s wide levels “on further Fed hikes and slowing growth”.

Credit markets are way underpricing recession risk, UBS says

US corporate credit spreads were not adequately priced for Federal Reserve chair Jerome Powell’s hawkish comments at Jackson Hole, and are significantly underpricing the risk of a recession, according...

Keeping credit data in the hands of individual BNPL players creates a “blind spot” for other lenders. It works against individuals hoping to build a good credit score, but whose timely payments are not captured by the system.

Rise of ‘buy now, pay later’ creates a blind spot

THERE’S a glaring contradiction in the “buy now, pay later” (BNPL) business.

China’s US$28 trillion of corporate debt is estimated at around 140 per cent of gross domestic product and is the largest among countries.

China debt-laden corporates may pose contagion risk if economic conditions worsen

Asia-Pacific corporates more sensitive than Europe, Latin America or US