Land Bank of Taiwan’s Ratings Affirmed with a Stable Outlook

Land Bank of Taiwan’s Ratings Affirmed with a Stable Outlook

Capital Intelligence Ratings (CI Ratings or CI) announced today that it has affirmed the Long-Term Foreign Currency Rating (LT FCR) and Short-Term Foreign Currency Rating (ST FCR) of Land Bank of Taiwan (LBOT) at ‘A’ and ‘A1’, respectively. At the same time, CI Ratings has affirmed LBOT’s Bank Standalone Rating (BSR) at ‘bbb’. The Outlook for the LT FCR and BSR is Stable.

The Bank’s LT FCR is set three notches above the BSR to reflect the very high likelihood of extraordinary support given its majority government shareholding and the sovereign’s high credit worthiness.

LBOT’s BSR is derived from a CFS rating of ‘bbb-’ (affirmed) and an Operating Environment Risk Anchor (OPERA) of ‘a-’. The ratings are supported by the Bank’s strong and well established franchise in the residential mortgage and land related financing markets, its large customer…