Lianhe Global has assigned ‘AA+’ global scale Long-term Issuer Credit Rating with Stable Outlook to The Hong Kong Mortgage Corporation Limited (“HKMC” or “the company”)
The Issuer Credit Rating reflects a high possibility that the Government of the Hong Kong Special Administrative Region (“Hong Kong government”) would provide very strong support to HKMC if needed, in light of its full ownership of HKMC, HKMC’s strategic importance with strong policy role in promoting the stability of the banking sector, wider home ownership and the development of the local debt market and retirement planning market, and the linkage between the Hong Kong government and HKMC, including appointment of directors in HKMC’s board of directors (“BOD”) and the senior management, strategic alignment, major investment and financing plan decisions and ongoing government support, etc. In addition, the Hong Kong government may face significant negative impact on its reputation and financing activities if HKMC encounters any operational and financial difficulties.
The Stable Outlook reflects our expectation that HKMC’s strategic importance would remain intact while the Hong Kong government will continue to ensure HKMC’s stable operation.