The Ministry of Railways was given a credit rating of AAA by a major Chinese rating agency, higher than China's Sovereign Credit Rating, the 21st Century Business Herald reported.

The paper said the Ministry of Railways issued a three-month debt with an interest rate of 5.55 percent on August 8. Dagong Global Credit Rating Co Ltd evaluated the issuance and gave the Ministry the rating, which is higher than that of local and foreign currencies of China, which is AA＋.

The paper quoted Dagong as saying that the Ministry of Railways is a government agency backed by the central government revenue, and the central government will pay its debt if the ministry is unable to pay.

The paper said though the rating was high, the Ministry has become more cautious about its debt issuance and has made efforts to attract investors with good interest rates.