The credit trajectory of rated Asian companies remains tilted to the downside. The report examines factors that are likely to drive the credit quality of corporate and infrastructure entities in 2022 as they deal with another year of the COVID-19 pandemic. The report also includes our expectations for the different countries and our opinion on key risks. These risks include slowing revenue growth, persistent funding volatility, and fickle investor sentiment. Adding to these risks are evolving COVID-19 variants and the prospect of rising interest rates and persistent geopolitical tensions, which could exacerbate currency volatility and hinder refinancing.