Japan, Australia, NZ to lead maturing corporate debt through to 2022: S&P

February 14, 2018

SINGAPORE - Between 2018 and 2022, US$1.1 trillion of rated Asia-Pacific financial and non-financial corporate debt should mature - about 11% of the total maturing globally, according to ratings agency Standard and Poor’s. 

Asia-Pacific corporate debt maturities are scheduled to rise to a peak of US$253 billion in 2020, from US$206 billion in 2018, the report says.
 
Nearly two-thirds of the debt from the region is from companies in Japan, Australia, and New Zealand, while about 19% is from Chinese companies.
 
The vast majority of rated debt in the region is investment grade (rated 'BBB-'and higher), which tends to have longer maturities to capitalise on the subsequent lower financing costs.
 
"In the current period of accommodative financing conditions, we expect that refinancing demands should be largely manageable, particularly for
investment-grade rated companies," said Diane Vazza, Managing Director of S&P Global Fixed Income Research. 
 
"Top risks for credit quality in this region include the remaining Chinese debt following years of debt-fuelled stimulus, coupled with property and
asset-price valuations."  www.standardandpoors.com (ATI).