Capital Intelligence Ratings (CI Ratings or CI) today announced that it has affirmed the Long-Term Foreign Currency Rating (LT FCR) and Short-Term Foreign Currency Rating (ST FCR) of Akbank (or the Bank) at ‘BB-’ and ‘B’, respectively. At the same time, CI Ratings has affirmed Akbank’s Bank Standalone Rating (BSR) of ‘bb-’, Core Financial Strength (CFS) rating of ‘bb+’ and Extraordinary Support Level (ESL) of Uncertain. The Outlook on the LT FCR and BSR remains Stable.
The affirmation of the ratings is supported by Akbank’s resilient business model and strong franchise, which continues to generate satisfactory operating and net profitability, solid capital ratios (even excluding forbearance measures), as well as the Bank’s supportive majority shareholder (Sabanci Holding). Constraining factors include the downward risks to asset quality, and exposure to the sovereign through government securities.
The likelihood of timely and sufficient extraordinary…