Articles

Hong Kong is Natural Area of Expansion for Chinese Homebuilders

Real Estate / China / Tue 28 Feb, 2017

Chinese homebuilders diversifying outside China are naturally seeking opportunities in neighbouring Hong Kong, where they can access good-quality sites and match their US dollar debt to cash flows in Hong Kong dollars, which is pegged to the US currency, Fitch Ratings says. Medium-sized Chinese homebuilders view the high-quality land in Hong Kong

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Indonesia's Planned Land Taxes Threaten Developers

Real Estate / Indonesia / Wed 22 Feb, 2017

Indonesia's proposal to introduce taxes to clamp down on speculative land purchases and cool land-price increases is a potential threat to developers, many of which own large plots of land, says Fitch Ratings. Although more recently, the government has indicated developers may not be targeted. 

The government says speculative land purchases have

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US-Japan Security Ties To Supersede Economic Disagreements

Country Risk / United States / Mon 13 Feb, 2017

US-Japan security ties will remain robust under President Donald Trump, as both countries focus on co-operation to counter-balance a rising China and increasingly nuclearised North Korea. Washington and Tokyo will still disagree over trade issues, but these disputes will largely be segregated from military ties.

The US-Japan security alliance will

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Asia Power: Global Outperformance Maintained

Power / Asia / Thu 09 Feb, 2017

Asian power markets outperform the global risk/reward index, as strong opportunities are balanced against relatively lower risks. Within the region, we highlight Malaysia and Australia as notable investment bright spots. Whereas, smaller power markets which continue to suffer from high operational and industry-specific risks, such as Laos, Cambodia

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Emerging Markets Key Themes Chartpack

Country Risk / Global / Thu 09 Feb, 2017

Emerging market (EM) growth is picking up steam amid more buoyant demand in developed economies, but performance will be highly mixed. In this chartpack, we outline the key themes that we expect to play out across EMs over the coming quarters:

  • Commodity exporters (Brazil, Russia, Nigeria, Saudi Arabia) will struggle to recover.

  • China and

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Wari-Tigo Deal A New MFS Expansion Paradigm

Telecommunications / Senegal / Wed 08 Feb, 2017

The most interesting aspect of the sale of Tigo Senegal is the buyer, the Wari Group. It is a digital financial services platform, whose aim is to improve its position in the market by becoming an operator, and targeting Orange and its successful Orange Money service. As such, this deal is the reverse of traditional MFS expansion strategies and

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Snap: More Twitter Than Facebook

Telecommunications / Global / Mon 06 Feb, 2017

We believe that Snap, which has just filed its IPO, is more likely to be the new Twitter than the new Facebook. Four reasons underpin our view: strong market competition, low prospects for profitability, an unclear business model and weak corporate governance.

Snap has filed an USD3bn Initial Public Offering (IPO), which would make the company

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