Economics
Singapore Banks' Outlook Lowered by Moody's as Pressures Mount
- DBS, OCBC, UOB outlooks reduced to negative, ratings affirmed
- Lenders face `more challenging' environment, Moody's says
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DBS Group Holdings Ltd., Oversea-Chinese Banking Corp. and United Overseas Bank Ltd. had their credit rating outlooks lowered to negative by Moody’s Investors Service, which said it expected a further weakening of conditions for the three largest Singaporean lenders as economic growth slows.
“A more challenging operating environment for banks in Singapore in 2016, and possibly beyond, will pressure the banks’ asset quality and profitability,” Moody’s said in a statement, citing a slowdown in economic and trade growth both domestically and in the wider region.