Moody's announces ratings for 6 Turkish banks
Moody's has affirmed the credit ratings for İş Bankası, TEB, VakıfBank, Yapı Kredi, DenizBank, and Şekerbank; outlooks remain stable.
12punto
International credit rating agency Moody's has published its credit assessment for six banks operating in Turkey. The agency affirmed the credit ratings of Türkiye İş Bankası, Türk Ekonomi Bankası (TEB), VakıfBank, Yapı Kredi, DenizBank, and Şekerbank.
The statement reported that the long-term deposit rating outlooks for the banks were also maintained as "stable." Factors such as the banks' capital and liquidity structures, asset quality, profitability outlook, and Turkey's country ceiling were highlighted in the assessments.
RATINGS BY BANK
Moody's affirmed Türkiye İş Bankası's long-term and short-term local and foreign currency deposit ratings at Ba3/NP. The agency stated that the decision reflects the balance between the expected weakening in asset quality and profitability and the stable capital and liquidity buffers.
VakıfBank's long-term and short-term deposit ratings were also affirmed at Ba3/NP. The bank's Baseline Credit Assessment (BCA) was maintained at the b2 level.
Şekerbank's long-term and short-term deposit and counterparty risk ratings were left at the Ba3/NP level, while its long-term and short-term national scale deposit and counterparty risk ratings were maintained at Aa2.tr/TR-1.
For Yapı Kredi, long-term and short-term local and foreign currency deposit ratings were affirmed at Ba3/NP. The bank's national scale deposit and counterparty risk ratings were maintained at Aaa.tr/TR-1.
TEB's long-term and short-term deposit ratings were affirmed at the Ba2/NP level. Moody's noted that the bank's long-term foreign currency counterparty risk rating is constrained by Turkey's foreign currency country ceiling of Ba2.
DenizBank's long-term and short-term foreign currency deposit ratings were affirmed at Ba2, and its local currency deposit ratings at Ba1. The agency reported that the bank's foreign currency deposit ratings continue to be constrained by Turkey's foreign currency country ceiling.
Moody's also stated for İş Bankası that a possible upgrade in Turkey's sovereign rating and a strengthening in the bank's financial structure could support the possibility of a rating upgrade.