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The Government today (November 11) welcomed Moody's decision to upgrade Hong Kong's government bond ratings to "Aa1" from "Aa2" with "Positive" outlook.
Moody's upgrade of Hong Kong's ratings and outlook were attributed to the city's continued and improving financial strength, particularly in comparison to other sovereigns rated in the Aaa and Aa range; also to the lessening vulnerability of Hong Kong to external shocks, as demonstrated by the continued health of the financial sector and the increase in external financial assets; and the favourable prospects for China's economic performance in the coming years, which will provide support for economic growth and financial developments in Hong Kong. Moody's also upgraded China's government bond ratings to Aa3 with "Positive" outlook.
Welcoming the news, the Financial Secretary, Mr John C Tsang, said the upgrade reflected international recognition of Hong Kong's strong economic and financial fundamentals.
"I am pleased to note Moody's recognition of Hong Kong's remarkable resilience during the global financial crisis. We are confident that our strong fiscal position and robust financial system will continue to provide a buffer for Hong Kong to withstand potential external shocks," Mr Tsang said.
In October 2010, Moody's put Hong Kong's government bond ratings on review for possible upgrade.
Ends/Thursday, November 11, 2010
Issued at HKT 16:36
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