, China
Photo by Denys Nevozhai via Unsplash.

Expect ‘stagnant’ Chinese structure finance market in 2024: S&P

Issuance momentum of dominant segments will reportedly remain slow.

China’s structured finance market is expected to be stagnant during 2024, according to a report by S&P Global Ratings.

The ratings agency expects overall issuance to stay flat in the next 12 months, after declining 7% in 2023.

Momentum will reportedly remain constrained in the dominant market segments of residential mortgage-backed securities (RMBS) and auto-loan asset-backed securities (ABS). This mostly reflects the fundamentals of the respective sectors, such as developments in the property market and vehicle sales, S&P said.

“We expect issuance in China's structured finance market to stay flat in 2024, with the issuance momentum of dominant segments to slow,” the ratings agency wrote in the report.

Issuance prospects will depend on the fundamentals of the respective sectors amidst a slow recovery of China's economy, it added.

ALSO READCiti sells $3.6b China consumer wealth portfolio to HSBC

However, collateral performances is expected to hold up across auto ABS, RMBS, and consumer finance ABS.

“Important sector trends to watch are the resumption timing of RMBS issuance, the issuance trajectory of consumer ABS and green auto ABS, as well as the increasing issuance of micro and small enterprise loan securitization, nonperforming loan ABS, and asset-backed plans managed by insurance asset management companies,” S&P added.
 

Follow the link s for more news on

Pembekuan pendanaan menghantam penyedia layanan BNPL

Investor semakin sedikit mengalirkan dana ke penyedia layanan BNPL yang sudah menghadapi keuntungan margin yang tipis.

HSBC: Aliansi bank-fintech merupakan win-win

Pemberi pinjaman dapat belajar dari teknologi disruptif sambil membantu mereka mematuhi regulasi.

Tokenisasi aset perdagangan untuk menjembatani kesenjangan pembiayaan

Teknologi blockchain dapat mendesentralisasikan operasi keuangan dan mempermudah akses kredit.

BCA menjalankan komitmen terhadap keuangan berkelanjutan

Bank asal Indonesia ini mempertimbangkan aspek lingkungan dan tata kelola dalam keputusan pemberian pinjaman.

Mengapa UNOBank mendorong embedded finance tumbuh di Filipina

Bagi UNOBank, banking interface terpadu adalah strategi pertumbuhan sekaligus upaya inklusi keuangan.

OCBC mencoba mengurangi kesenjangan manfaat bagi agen properti di Singapura

Produk terbarunya menawarkan manfaat finansial di bidang perbankan, asuransi, dan perdagangan.

Upaya Malaysia menjadi anggota BRICS untuk mendorong perombakan sistem perbankan

Namun, tantangan muncul ketika menjauh dari ketergantungan pada AS dan SWIFT.

Platform pembayaran PingPong memperoleh lisensi PJP di Indonesia

PingPong mengincar ekspansi ke pasar ekspor senilai $320 miliar di negara tersebut.

Merger dan penutupan mengancam 3.800 bank di area pedesaan Cina

Sekitar 70 bank di area tersebut telah merger sejak 2023.