Fitch lifts Bank of Communications

Fitch Ratings said it upgraded Bank of Communications' long-term issuer default rating to A from A- and its short-term issuer default rating to F1 from F2.

The ratings are based on state support, Fitch said, reflecting varying expectations about prospects of extraordinary support from the central government in the event of stress, the agency said.

The ratings were upgraded based on a reassessment of the probability of support for the bank relative to other state-owned banks, Fitch said.

Despite its smaller size, it is unlikely that state support would be materially less for Bank of Communication than other state banks given the central government's substantial 40% direct-ownership stake, the agency said.

The bank also has been a recipient of state support in the past, Fitch added.

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