In their latest Q1 "Radar" report published this Wednesday, Fitch ratings agency noted that slowdown in China poses the largest risk to the agency's global credit ratings portfolio. Fitch Ratings' interactive Risk Radar outlines the potential impact hypothetical and macroeconomic risks could have on Fitch's ratings portfolio.

This quarter, Risk Radar continues to discuss the impact from a sharp slowdown in China's economy. "Our ratings case is for a gradual slowdown, but equity market volatility and yuan depreciation highlight the economic adjustment and deleveraging challenges China is facing," Fitch said.

The report analyses how Eurozone deflation and zero growth would affect Fitch's ratings across multiple asset classes. Other pressing alternative scenarios, including persistently low oil prices and the hypothetical negative scenario under Brexit are also discussed.

Earlier in April, the IMF slashed it forecast for global GDP growth by 0.4 percentage points to 3.2% for 2016. Growth for 2017 was cut to 3.5% from 3.8%. Each percentage point slowdown in Chinese growth could crimp the Asia economy by 0.15%-0.3%, the IMF warned in its regional economic outlook as it urged policymakers to strengthen their structural reform agenda.