Fitch Ratings report highlights concerns as Asia-Pacific corporates face continued deterioration in 4Q23

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New Delhi [India], January 26 (ANI): Fitch Ratings has reported a further deterioration in its portfolio of Asia-Pacific (APAC) corporates during the fourth quarter of 2023...

As per Fitch Ratings, the cumulative net downgrades have reached a record high of 235 since early 2019, underscoring the ongoing challenges faced by businesses in the region...

Fitch Ratings notes a modest reduction in the number of net rating actions for the last 12 months, with a negative 25 reported in 4Q23 compared to a negative 28 in the previous quarter and a more significant negative 70 in the same period in 2022...

The stability in the proportion of Negative Outlooks at around 9 per cent by the end of 4Q23, compared with the end of the third quarter, is seen as a noteworthy development...

However, Fitch Ratings highlights weak liquidity as the primary reason for rating actions during the quarter, indicating financial stress across various entities...

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