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On Strong Capitalization, Chang Hwa Commercial Bank Has Been Upgraded To “twAA+/twA-1+” By Taiwan Ratings Corp. Outlook “Stable”.

  1. On Oct. 29, 2019, Taiwan Ratings Corp. raised its issuer credit ratings on Chang Hwa Commercial Bank Ltd. to “twAA+/twA-1+” from “twAA/twA-1+”, as well as raised the issue ratings on the bank's various debt issues. The outlook on the long-term ratings is stable. 
  2. Taiwan Ratings Corp. believes Chang Hwa Bank's capitalization has improved to strong from adequate previously, following a hybrid tier I capital issuance and managed risk asset growth over the past 18 months. Taiwan Ratings Corp. expects the bank's prudent capital management to sustain its enhanced capitalization over the next two years. 
  3. The stable outlook reflects Taiwan Ratings Corp.'s view that Chang Hwa Bank will sustain strong capitalization over the next one to two years and Taiwan Ratings Corp.'s view of a moderately high likelihood that the bank will receive support from the Taiwan government in times of severe financial stress.