Bangkok--27 Jul--Standard & Poor's Standard & Poor's Ratings Services today affirmed its 'A/A-1' issuer credit ratings on China Development Bank (CDB). The outlook was revised to positive from stable. "The outlook on the ratings on CDB was revised to positive in line with the ratings outlook revision on the sovereign ratings on China," said Standard & Poor's credit analyst Kim Eng Tan of the Sovereign Ratings group. The issuer credit ratings on CDB reflect our expectation of strong government incentives to support an institution involved in China's national economic development. CDB is the largest of China's three policy banks, and the pre-eminent development bank. It provides long-term funding for medium-to-large projects in selected sectors of the economy. However, CDB also offers financial advisory services and competes with commercial banks on banking services. Standard & Poor's expects CDB's commercial business to grow in the coming years. Nevertheless, such activities should remain less important than the bank's policy lending business in the near to medium term. Hence, we believe that CDB's primary role will remain that of a key development and public policy institution over this period, even though commercial activities undertaken by the bank will increase. "However, a weakening of CDB's policy role or the level of support from the government would weaken the credit ratings on CDB," Mr. Tan added. Complete ratings information is available to subscribers of RatingsDirect, the real-time Web-based source for Standard & Poor's credit ratings, research, and risk analysis, at www.ratingsdirect.com. All ratings affected by this rating action can be found on Standard & Poor's public Web site at www.standardandpoors.com ; select Ratings in the left navigation bar, then Credit Ratings Search. Media Contact: Marc Eiger, New York (212) 438-1280 [email protected] Analyst Contacts: KimEng Tan, Singapore (65) 6239-6350 John Chambers, CFA, New York (1) 212-438-7344 Ping Chew, Singapore (65) 6239-6345