Analysis On Causes Of Credit Rating Misalignment And Credit Default And Countermeasures

With the deepening reform of the financial field,China’s capital market is developing steadily with high quality,and extensive economic structure has become a thing of the past.China’s bond market has been recognized by international investors and has become the second largest bond market in the world.Behind the steady growth are stricter government regulation and rising financing costs for enterprises.The occurrence of the first bond default event in 2014 sounded the alarm bell to the entire bond market.Since then,the frequency and scale of bond default increased,which undoubtedly had a negative impact on the order of the financial market and hit the confidence of investors.In 2020,a group of high-rating bonds defaulted,and China’s bond market was no longer calm.More and more voices point out that China’s credit rating is inaccurate,the bond market relies on credit rating at the same time there is a lack of a perfect credit rating system,in such a vicious circle,many problems gradually exposed.This paper first analyzes the status quo of China’s credit market,sorting out the causes of bond default and subsequent disposal measures.Choose the typical state-owned enterprise credit debt-wing coal group bond defaults as a breakthrough point,from three aspects: macro,area and enterprise itself,carding analysis of beginning and end of the event,the default reasons,explore the problems of high credit rating the incident,and whether state-owned enterprises because the identity of the state-owned enterprise get higher ratings,That is,whether the phenomenon of relaxed rating standards is more obvious in state-owned enterprises.As a large local state-owned enterprise with AAA rating,its default broke the inherent concept of rigid payment in China’s bond market,and at the same time caused a certain shock to the bond market.The problem of rating misalignment exposed by yong Coal default event.It starts from four aspects: sorting out the rating standards,summarizing the influencing factors of credit rating,evaluating the rating quality and defining the misalignment of rating.Corporate bonds,corporate bonds and medium-term notes issued from 2011 to2020 are selected to investigate the ten-year changes of bond credit rating standards.The empirical analysis further confirms that the credit rating standards have gradually relaxed in recent years,and further proves that the credit rating quality of state-owned enterprises is more relaxed than that of non-state-owned enterprises.The migration of rating quality reveals the imperfection of China’s credit rating system.In order to give full play to the important role of rating agencies as information intermediaries in the financial market,this paper finally puts forward suggestions on dynamic classification or assessment,re-rating and limiting business scope from the regulatory level,and puts forward corresponding measures and suggestions for the benign development of rating agencies.