OREANDA-NEWS. Fitch Ratings says in a new report that it expects the standalone credit profiles of most rated south-east Asian utilities to weaken in 2016 due to weak demand and high capex. State interventions in the form of tariff restrictions will also put pressure on some entities' cash generation. Fitch's Rating Outlook for these issuers, however, remains Stable due to their state linkages.

Fitch also says that high debt-funded capex, associated with state-directed generation and network capacity targets, is negative for the credit profiles of these issuers.