HONG KONG, 25 March 2025 – Lianhe Ratings Global Limited (“Lianhe Global”), an international credit rating company, has affirmed ‘A’ global scale Long-term Issuer Credit Rating of Jinhua State-owned Capital Operation Co., Ltd. (“JSCO” or “the company”); Issuer Rating Outlook is Stable.
The Issuer Credit Rating reflects a high possibility that Jinhua Municipal People’s Government (“the Jinhua government”) would provide very strong support to JSCO if needed, in light of its full ownership of JSCO, JSCO’s strategic importance as the flagship local investment and development company responsible for urban development and city operation in Zhejiang’s Jinhua City (“Jinhua”). The linkage between the Jinhua government and JSCO is strong, including management supervision, strategic alignment, and ongoing operational and financial support. In addition, the Jinhua government may face significant negative impact on its reputation and financing activities if JSCO encounters any operational and financial difficulties.
Jinhua is a prefecture-level city located in the middle of Zhejiang Province. Jinhua’s GDP amount increased by 6.3% to RMB692.6 billion in 2024, while the Jinhua government’s budgetary revenue increased by 6.9% to RMB53.7 billion.
The Stable Outlook reflects our expectation that JSCO’s strategic importance would remain intact while the Jinhua government will continue to ensure JSCO’s stable operation.