Fitch Ratings said Monday it affirmed China’s credit rating at “A+,” adding the country’s outlook is stable.

The global rating agency said China’s ratings are supported by its robust external finances, a record of strong and resilient macro performance, and size as the world’s second largest economy.

“The Chinese economy has entered a mature stage in its pandemic recovery, following the country’s early success in virus containment,” Fitch said in a statement.

“China’s ‘zero-tolerance’ policy towards domestic coronavirus infections has kept cases exceptionally low since mid-2020, and recent outbreaks have been contained swiftly through localized lockdowns and mass testing,” it added.

The agency noted that the Chinese economy surged 18.3% in the fourth quarter of 2020, compared to the same period of the previous year, “in part due to the base effect from last year’s shutdown.”

China’s rating, however, is constrained by fiscal and macro-financial stability risks associated with the country’s highly indebted non-government sector and per capita income, it added.

Fitch said it expects the Chinese economy to grow 8.4% in 2021 and 5.5% in 2022. ​​​​​​​

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