The Strategist

Moody's changes China's rating outlook to Stable from Negative



04/28/2026 - 02:58



The international rating agency Moody's Investors Service has confirmed China's long-term ratings for foreign and local currencies at "A1."



Aerra Carnicom
Aerra Carnicom
The agency's press release indicated that the outlook was revised from negative to stable. This is motivated by anticipations of sustained economic and fiscal strength in spite of domestic, trade, and geopolitical difficulties.

Analysts at Moody's anticipate that China's export growth is expected to decelerate. Nonetheless, it continues to be competitive and flexible, aiding the nation's economy. Consequently, GDP expansion will slow down progressively in the medium term.

The agency's specialists are confident that strategies aimed at high-productivity sectors and a regulated method of debt management for regional and local authorities will enhance capital efficiency, even with the rise in total public debt.

China's economy is expected to grow by 5% by the end of 2025. The socio-economic development strategy for this year anticipates a growth of 4.5-5%.

source: moodys.com