Researches & Commentaries
Hong Kong, 6 August 2021 -- China Chengxin International Credit Rating Co., Ltd. (“CCXI”) issued a report entitled “Tail Risks Get Increasingly Exposed in the Context of Credit Stratification and the Annual Default Rate in the Public Offering Bond Market Is Expected to Reach 0.70%-0.80%”, According to the report, it is necessary to remain vigilant about the possibility that entities at the tail get their credit risks exposed at a faster pace in the second half of the year. Thanks to the tough regulatory stance on stability maintenance, the negative impact that default events pass on to the financing end of the bond market through the market sentiment is probable to go weaker, with credit risks remaining under control overall. The default rate in the public offering bond market may range between 0.70% and 0.80% throughout the year of 2021.