Asian Infrastructure Investment Bank to Sustain Strong Credit Profile, Moody's Says
Tang Shihua
DATE:  Sep 05 2017
/ SOURCE:  Yicai
Asian Infrastructure Investment Bank to Sustain Strong Credit Profile, Moody's Says Asian Infrastructure Investment Bank to Sustain Strong Credit Profile, Moody's Says

(Yicai Global) Sept. 5 -- The Asian Infrastructure Investment Bank will maintain its AAA-stable credit rating thanks to robust capital adequacy, a strong governance framework and solid shareholder support, despite the absence of a lengthy track record of operations, a research report by international agency Moody's Investors Service states.

The lender's subscribed capital is already larger than more established AAA-rated multilateral development banks and will provide ample financial capacity to fulfill the bank's mandate for infrastructure investment in Asia.

Preferred creditor status will support its strong asset performance, similar to other multilateral development banks. The institute's conservative liquidity policy will be complemented by smooth financial channels.

The AIIB's development assets and related borrowings will expand at a pace that contains leverage, while its policies will be designed and implemented in a manner that mitigates credit risk and maintains profitability.

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Keywords:   Moody's,CREDIT RATING,Asian Infrastructure Investment Bank