The affirmation of ENBD's ba2 BCA and D BFSR
reflects two key credit strengths, mainly (1) its solid franchise as the largest bank in the UAE, and (2) its improving risk management and strong treasury, which are moderated by (3) very high levels of balance sheet concentration and (4) relatively weak asset quality, loan loss coverage and capitalisation levels.
RATINGS RATIONALE -- DOWNGRADE OF DEPOSIT RATINGS AND BFSR
Moody's has also affirmed, with stable outlook, BMI's standalone BFSR
of E+, equivalent to a b1 baseline credit assessment.
The parent bank's E+ BFSR
now translates into a BaselineCredit Assessment (BCA) of B1, which serves as a reference point with which to impute bank rating uplift as a result of possible parental support.
However, the rating agency notes some potential vulnerability to the weakening operating environment, given the bank's relatively high single borrower concentration and large proportion of corporate lending, particularly in the higher risk SMEs category coupled with its satisfactory but still modest capital adequacy (in comparison with that of its domestic peers); hence, the negative outlook on CSOB's BFSR
," the agency added.
The outlook on the BFSR
was changed from "positive" to "stable".
According to Moody's report, the D+ BFSR
, which maps to a baseline credit assessment of Ba1 under Moody's analysis methodology, reflects BisB's growing franchise as Bahrain's leading Islamic bank.
Moody's also placed a negative outlook on the firm's B BFSR
and A a3 preferred stock ratings.
ING Turkey's standalone BFSR
could be upgraded as a result of material strengthening of the bank's franchise, without compromising its risk profile, coupled with an improvement in its profitability and efficiency.
Raiffeisen Bank SA's long-term deposit ratings of Ba1, with a stable outlook, incorporate two-notches of uplift from the bank's BCA, based on Moody's assumption of a high probability of support from the parent: Raiffeisen Bank International AG (A2 negative, BFSR
D+/BCA ba1 stable).
This rating action follows Moody's decision to downgrade the BFSR
of Greek parent bank, Piraeus Bank SA, to D+ (negative outlook) from C- .
This Frost & Sullivan research service titled European Land-Based ISTAR Markets - Ground Radar & Unmanned Sensors provides an overview of the European land-based sensors market and offers a description of the following markets: BFSR
, WLR, AWL systems, and UGS.