Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers T > Headlines for Taiwan > News item |
Fitch: Negative actions for Taiwan banks
Fitch Ratings said in a report on the Taiwanese banking sector that between 2006 and 2007 there have been more negative than positive rating actions.
The negative ratings mainly factor in the increasingly tougher liquidity conditions, rising funding cost amid an inverted yield curve, a continuous competitive pricing environment and lingering adverse effects from delinquencies arising from the consumer debt restructuring program for unsecured consumer credit borrowers, Fitch said.
The positive rating actions were predominately driven by mergers and acquisitions, the agency said, evidenced by the upgraded ratings of these acquired banks resulting from increased institutional support from their new foreign owners, usually sizable multinational banking groups with strong financial profiles.
Positive rating actions based on intrinsic improvements were limited to Cathay United Bank (individual rating B/C) and First Commercial Bank (long-term foreign-currency issuer default rating BBB+ with positive view), Fitch said.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.