The Trinidad Guardian / Regional ratings agency Caribbean Information and Credit Rating Services Limited (CariCRIS) has reaffirmed the assigned ratings to the$1.0 billion debt issue of Republic Bank Limited (RBL) of CariAA+ on the regional rating scale and ttAA+ on the national scale.
This means the level of creditworthiness of this debt obligation is high. In its assessment, CariCRIS noted that RBL accounts for approximately 64 per cent of its parent, Republic Financial Holdings Limited’s (RFHL), net interest income and 69.4 per cent of its gross loans, making RFHL’s performance highly linked to and influenced by that of RBL. As
The outlook for the ratings was revised from negative to stable based on expectations that over the next 12-15 months, RBL will continue to maintain its strong market position, good capitalization, healthy liquidity and remain profitable, despite the challenging economic conditions in T&T.
CariCRIS said in its report: “RBL’s ratings reflect the bank’s leading market share in the Trinidad and Tobago commercial banking industry as well as its good financial performance evidenced by profitability and asset growth.
“The ratings also reflect the bank’s strong liquidity supported by a stable and diversified resource base as well as good capitalization reflected in high capital adequacy ratios. RBL’s good asset quality with a NPL ratio well below that of the local industry also supports the ratings.
“These rating strengths are tempered by the persistent foreign exchange shortage and prevailing economic challenges that could drive a slowdown in loan origination and could lead to some deterioration in asset quality.”
RBL’s $1b debt ratings reaffirmed
Con Información de The Trinidad Guardian
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