Apart from producing original insights, Acrostics Asia also pulls research and commentaries from the region that can help readers to make sense of the evolving trends.

The latest edition of Research Corner highlights insights across China’s economy, the emerging fault lines in India’s private credit market, the impact of the Iran War on the aviation sector, data centre financing in Asia Pacific, a potential overhaul of Mongolia’s Minerals Law, as well as legal updates in Singapore and Vietnam.

🔸 China’s confidence campaign: Can slogans solve economic woes? by Yang Danxu

Beijing urges the media to “sing loudly” about growth, but empty malls, job struggles and property woes show confidence must rest on real economic fundamentals, not rhetoric, Lianhe Zaobao China News Editor Yang Danxu wrote for ThinkChina.

“In recent years, stories have occasionally circulated among China’s economic analysts circle about people getting into trouble over their comments. Some analysts grumbled in private that they can no longer say a stock has ‘hit limit down’ – they have to say it is ‘waiting to rise’.”

“In the end, public opinion may serve as a lever to bolster confidence, but the fulcrum must rest on the economic fundamentals. By seeking truth from facts, respecting objective economic laws, and fostering a more accommodating environment in which individuals can experiment and unleash creativity, while raising incomes and strengthening the social safety net, confidence will return naturally, without the need for rhetorical fanfare.”

🔸 China Maintains Targeted LRG Fiscal Support, Limited Room for More Stimulus by Fitch Ratings

China’s 2026 fiscal budget signals a continuation of targeted fiscal support at the local and regional government (LRG) level, though with limited scope for additional stimulus as authorities show growing tolerance for slower growth, Fitch Ratings said.

“We expect higher debt growth and weak revenue expansion in 2026 to narrow the rating headroom for LRGs. However, debt growth should ease after 2026 as the debt substitution programme – a multi-year fiscal initiative that refinances local-government financing vehicles’ (LGFV) hidden debt with LRG bonds – largely concludes.”

🔸 Fault Lines Show Up in India’s $25 Billion Private Credit Market by Shilpy Sinha

Fault lines are beginning to show in India’s fast-growing private credit market that has expanded to about USD 25 billion in size, Shilpy Sinha reported for The Economic Times.

Industry executives say a few private credit deals are already showing early signs of stress. Light-touch regulations have meant that unlike banks or non-bank lenders that must periodically disclose their suspect-loans data, lenders in these markets do not need to disclose asset-level performance.

🔸 Iran war threatens to rewrite rules of aviation by Shukor Yusof

The war in Iran has called into question the long-term economic sustainability of the Gulf countries and vulnerabilities of Middle Eastern carriers, Endau Analytics’ Shukor Yusof wrote for CNA.

“There may be some winners in the near term. Cathay Pacific, for one, stands to gain most from the Gulf fallout. Today, Cathay is a stronger airline than in 2019 when it suffered from protests that hurt Hong Kong’s economy and later, the pandemic. The airline has recovered and is pursuing a sound geopolitical strategy that closely aligns itself with China.”

“Operationally, Cathay’s jets can skirt current warzones, along the relatively safe corridors of Central Asia or simply fly through the vast Russian airspace. As a Chinese airline, it is not subjected to sanctions, unlike Western carriers that have been banned from or are avoiding the Russian airspace since 2022.”

🔸 Network effects: How data centre financing is reshaping loan markets in Asia Pacific by APLMA

The Asia Pacific Loan Market Association (APLMA) has produced its first thematic whitepaper, examining the current state of the data centre financing market, unique challenges and features of the financing market in Asia Pacific, along with the key trends and opportunities for loan market participants. The paper was sponsored by Fitch Ratings and Latham & Watkins LLP.

🔸 Mongolia’s 2026 Spring Session: Key Developments Investors Must Watch by Capital Markets Mongolia

Mongolia’s Parliament has officially kicked off a landmark session, putting 32 major legislative items – including an overhaul of the Minerals Law – on the table, Capital Markets Mongolia (CMM) wrote.

According to the Minister of Industry and Mineral Resources, about 50% of the Minerals Law will be amended, marking potentially the most substantial reform in over a decade.

🔸 Singapore Court of Appeal Clarifies Test for Removal of Judicial Managers by Sheila Ng

In Singapore, judicial managers (JMs) appointed over a company are empowered to conduct a range of acts relating to the company’s business. However, JMs face removal if they fail to adhere to the legislative framework on judicial management.

In Tay Lak Khoon v Tan Wei Cheong [2025] SGCA 41, the Singapore Court of Appeal set out the applicable test for when a JM may be removed for cause, according to Sheila Ng, Head of Restructuring & Insolvency at Rajah & Tann Singapore LLP. In particular, the Court of Appeal considered whether a JM may be removed for a decision based on legal advice.

🔸 Vietnam’s New Legal Framework Prioritising Corporate Rehabilitation by Indochine Counsel

Vietnam is shifting its approach to corporate distress, from liquidation to rehabilitation, according to Indochine Counsel. The newly adopted Law on Rehabilitation and Bankruptcy 2025, effective 1 March 2026, introduces a legal framework that places corporate recovery at the centre of insolvency proceedings, marking a significant evolution from the previous bankruptcy regime.

Acrostics Asia has added Research Corner, which pulls research and commentaries from the region that can help readers to make sense of the evolving trends.

The February 2026 edition highlights insights across Asian currencies, Indonesia, Vietnam, Mongolia and India as well as the Basel Committee’s analysis of synthetic risk transfers.

🔸 Asia FX Talk - What if oil prices spike further? Implications of Iran conflict by Michael Wan

For Asia FX, a prolonged and escalating conflict with sustained oil price spikes will weigh on Asian currencies given that most in our region are net oil importers.

🔸 The ART of the bad deal by Riandy Laksono

In a piece published on The Jakarta Post, Riandy Laksono calculated the effective tariff rates for the Indonesia-US trade deal (ART) and compared it with doing nothing (facing section 122 tariff with exemption). The conclusion is that doing nothing is still better.

🔸 Indonesia Sovereign Rating by Aryo Perbongso’s team

Aryo Perbongso shared the key takeaways from his team’s meetings to discuss Indonesia’s sovereign rating:

“The binding issue is fiscal affordability, because Indonesia’s revenue/GDP is structurally low versus BBB peers and its interest-to-revenue burden is unusually high, making the sovereign more vulnerable to rate shocks and risk-premium spikes.”

“Danantara debt consolidation is not the base case, but governance weaknesses could still create material contingent liabilities, so transparency on funding plans, safeguards, and guarantees is a critical watchpoint.”

🔸 Sluggish Indonesia market clouds aviation outlook for Southeast Asia by Brendan Sobie

A large contraction in domestic air travel within Indonesia will impact the regional outlook in Southeast Asia, aviation analyst Brendan Sobie wrote for CNA.

🔸 Vietnam after the 14th Party Congress: A new tenure with higher stakes by Linh Nguyen

Vietnam remains open for business after the 14th Party Congress. But the system now moves faster, with less tolerance for mistakes. The opportunity remains. The risk is whether execution and institutional capacity can keep pace.

🔸 Fresh range of offshore loan rules – Vietnam by VTN and Partners

The State Bank of Vietnam issued a new circular that amends one of the main regulations governing how Vietnamese enterprises borrow from offshore lenders and manage those debts. This article walks through what actually changed, compares the old and new rules, and looks at what it means for structuring offshore financing into Vietnam.

🔸 Inside Tsetsens Mining and Energy’s US$300 Million Landmark Bond by Capital Markets Mongolia

This transaction extends beyond a single issuer’s capital raise. It demonstrates that non-traditional and first-time issuers can successfully access international markets, thereby diversifying funding sources and expanding the structural framework of Mongolia’s private infrastructure financing model.

🔸 New route for offshore lenders through the liberalization of India’s ECB framework by A&O Shearman

On 16 February 2026, the Reserve Bank of India notified amendments to the existing External Commercial Borrowings regulations which are effective immediately and applicable to new borrowings going forward. The Amended Regulations provide significant opportunities for the leveraged finance market and offshore to onshore structures.

🔸 Basel Committee publishes analysis of synthetic risk transfers

The Basel Committee on Banking Supervision published a report on synthetic risk transfer (SRT) transactions. The economic importance of SRT markets has grown rapidly over the last decade and they have become an important source of capital relief for corporate credit risk.