Hong Kong's Legislative Council has passed the Financial Institutions (Resolution) Ordinance, but certain subsidiary rules are yet to be finalized and its implementation timeline has not been confirmed. We continue to see a high likelihood of government support for SCBHK. However, we see a one-in-three chance that the likelihood will be lower, when the resolution regime in Hong Kong is effectively implemented. This could significantly lower the chance of upgrading SCBHK, even if we upgrade its parent bank. We are affirming our 'A+' long-term and 'A-1' short-term issuer credit ratings on SCBHK. We are also affirming the 'cnAAA' long-term and 'cnA-1+' short-term Greater China regional scale ratings on the bank. The positive outlook follows that on its parent, but we
