Sunday, 17 October, 2021

City Bank’s outlook to stable, affirmed rating at B1: Moody’s

  • Staff Correspondent
  • 6 October, 2021 12:00 AM
  • Print news

Moody's Investors Service changed the outlook to ‘stable’ from ‘negative’ and affirmed issuer rating at B1 (B1 is the highest quality speculative rating) for The City Bank Limited.

The rating was assigned considering the bank’s strength and challenges along with the impact of current economic turmoil from Covid-19 pandemic, said a press release.

The affirmation of City Bank’s rating of B1 reflects the bank’s modest asset quality, average capital position and moderate profitability.

The B1 rating of City Bank demonstrates improved profitability driven by higher net interest margin, improved capital adequacy ratio and concentration on SME, retail banking and trusted corporate clients to manage asset risk.

Superior strength on retail banking and credit card segments, a sturdy deposit franchise and access to development funds from development financiers are recognised as credit strengths of the bank.