Asia-Pacific banks are resilient to risks related to the failures of their US peers, says Fitch Ratings, noting that regional banks have limited direct exposure to Silicon Valley Bank (SVB) and Signature Bank.
“The direct exposures among Fitch-rated banks in Asia-Pacific to SVB and Signature that we are aware of are not material to their credit profiles,” the global rating agency said in a statement on Friday.
Few Fitch-rated banks in the region have depositor concentration profiles similar to SVB, which left it vulnerable to a run.
For example, Shanghai Pudong Development Bank (SPDB) has a joint venture with SVB, but its total assets only totalled 0.25% of SPDB’s assets as of mid-2022. Some Japanese banks and their clients also have limited indirect exposures, but these would…
