Large financial reserves, strong external finance, and a high per capita income strengthen Hong Kong’s ratings, according to the agency.
As a result, the agency anticipates the banking sector’s profitability to rise this year as the Federal Reserve’s (Fed) tightening monetary policy leads to higher local interest rates.
On the other hand, the agency expects this autonomous region’s GDP growth to fall to 1% by year’s end, down from 6.4 percent last year. Fitch anticipates that the restrictions imposed to combat the covid epidemic will be lifted before the end of April, resulting in a downturn in the economy.
source: fitchratings.com
