Bank of Cyprus – Ratings Upgraded with a Stable Outlook

Ref: CY001 21 CRA00- 0 1 16 December 20 22

Bank of Cyprus – Ratings Upgraded with a Stable Outlook

Capital Intelligence Ratings (CI Ratings or CI) today announced that it has upgraded the Long-Term Foreign Currency Rating (LT FCR) of Bank of Cyprus (BoC) to ‘BB’, from ‘BB-’. BoC’s Bank Standa lone Rating ( BSR) and Core Financial Strength (CFS) have also been raised to ‘bb’ and ‘bb’, respectively, from ‘bb-’ and ‘bb-’. At the same time, CI Ratings has affirmed the Bank’s Short-Term Foreign Currency Rating ( ST FCR ) of ‘B’ and Extraordinary Support Level ( ESL) of Uncertain. The Outlook for the LT FCR and BSR remains Stable.

The upgrad e of both the LT FCR and BSR is due to the improved CFS and our Operating Environment Risk Anchor ( OPERA) assessment as outlined below. T he change in the CFS reflects the substantial improvements in asset quality…