Macau still rated AA+ by China’s Dagong Global Credit Rating

27 December 2013

China’s Dagong Global Credit Rating agency has kept Macau’s rating at AA+ in both local currency and foreign currency, with a stable outlook.

The rating assigned to Macau is the highest the Chinese agency has awarded, meaning in this case that Macau has very little or even no risk of defaulting.

The statement recently released by the agency indicates that consistent government policies, prudent fiscal and financial management and abundant foreign exchange reserves are still adequate to ensure the territory’s solvency, although there is some fragility due to overdependence on the gaming industry.

Strong domestic demand and service export growth led Dagong Global Credit Rating to forecast that Macau’s economy will grow at a rate of 10.5 percent this year and 11.4 percent in 2014. (macauhub)