Reported 6 months ago
Moody's Ratings has stated that Taiwan's banking industry is expected to maintain a highly diversified market structure with intense competition, limiting banks' ability to increase profits and capital levels. The current 'a/Stable' operating environment rating reflects favorable economic factors expected to support the industry's asset quality in the next two years. Although Taiwan's per capita GDP is projected to exceed $35,000 by 2025, structural factors like market competition constrain the possibility of an upward revision to an 'aa' rating. Moody's forecasts stable regulatory oversight on real estate-related loans in Taiwan, which have triggered credit risk concerns, but tighter regulations imposed since 2020 have helped mitigate risks and curb excessive loan growth, reassuring stable asset quality.
Source: YAHOO