Akbank’s Ratings Affirmed; Outlook Remains Negative

Akbank’s Ratings Affirmed; Outlook Remains Negative

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 T.A.Ş at ‘BB-’ and ‘B’, respectively. At the same time, CI Ratings has affirmed Akbank’s Bank Standalone Rating (BSR) of ‘bb-’. The Outlook for the LT FCR and BSR remains Negative.

Akbank’s BSR is derived from a Core Financial Strength (CFS) rating of ‘bb+’, reflecting the Bank’s moderate intrinsic financial, operational and business strength, and an Operating Environment Risk Anchor (OPERA) of ‘b+’, indicating significant risk. The operating environment remains highly challenging given the expected contraction in real GDP due to the coronavirus (Covid-19) pandemic, ongoing exchange rate volatility, and high inflation. The government response to date to both pre-existing…