VietnamCredit
VietnamCredit About Us Cafe€redit Contact Us
Login
0
USD
Go to cart
Checkout
Fitch Ratings upgraded ratings for 8 banks in Vietnam

Fitch Ratings upgraded ratings for 8 banks in Vietnam

Saturday 23, 12 2023
The move was made after this rating agency raised Vietnam's credit rating from BB to BB+ and gave a positive assessment of Vietnam's economy.

A upgrade in credit ratings

Credit rating agency Fitch Ratings has just announced a rating upgrade for 8 banks in Vietnam including Vietcombank, Agribank, VietinBank, ACB, MB, Standard Chartered Vietnam, HSBC Vietnam and ANZ Vietnam.

A upgrade in credit ratings

This move was made after Fitch Ratings upgraded Vietnam's credit rating to BB+ and forecast the country's long-term growth at 7%/year on December 8.

Accordingly, Fitch Ratings has raised the long-term issuer default rating (IDR) of Vietcombank, Agribank and VietinBank from 'BB' to 'BB+' and the Government Support Rating to 'bb+' from 'bb', while IDR outlook rated stable.

This action reflects the assessment of the Government's ability to improve in supporting banks in the system as shown by upgrading Vietnam's rating to 'BB+' from 'BB'.

Fitch Ratings has upgraded MB's long-term issuer default rating (IDR) from 'BB-' to 'BB' and its Government Support Rating (GSR) from 'bb-' to 'bb'; IDR outlook is stable.

For ACB, the agency upgraded its Government Support Rating (GSR) from 'b+' to 'bb-', at the same time, maintaining ACB's long-term debt issuer default rating (IDR) at 'BB-'. Outlook is rated stable.

Along with that, Fitch Ratings has rated Vietcombank and ACB's Viability Rating (VR) at 'bb-'; Agribank and VietinBank are at level 'b'; MB is at 'b+' level.

The 3 banks with 100% foreign capital including HSBC Vietnam, ANZ Vietnam and Standard Chartered Vietnam, Fitch Ratings upgraded the long-term IDR from 'BB' to 'BB+' and the debt rating long-term domestic market from 'BBB-' to 'BBB'. The outlook for the long-term IDR is stable.

HSBC Vietnam

At the same time, it also raised the short-term local currency IDR ratings of these banks to 'F2' from 'F3' and the Shareholder Support Rating (SSR) to 'bb+' from 'bb'.

Vietnam's long-term foreign currency issuer default rating upgraded from BB to BB+

Previously, Fitch Ratings upgraded Vietnam's long-term foreign currency issuer default rating from BB to BB+ with a "stable" outlook, raise Vietnam's long-term debt issuer rating and national credit rating ceiling from BB to BB+. In particular, the outlook for long-term debt issuer ratings is "stable".

This action reflects Fitch's more positive assessment of Vietnam's medium-term growth prospects. The above outlook is reinforced by strong foreign direct investment (FDI) inflows, thereby promoting sustainable improvements in credit structure.

Fitch Rating

According to Fitch Ratings' assessment, short-term economic obstacles due to tensions in the real estate sector, or weak international demand are unlikely to affect the medium-term macro-outlook. At the same time, support policies are expected to be sufficient to limit short-term risks.

This agency also forecasts Vietnam's medium-term growth at about 7%/year.

Source: Fitch Ratings, vietnambiz

Compiled by VietnamCredit

Categories
Banking & Finance

You may also like

Exports will lead Vietnam’s economic growth in 2022
Saturday 12, 02 2022

Exports will lead Vietnam’s economic growth in 2022

Vietnam’s economic growth in 2022 is expected to be at 7.9%. That growth...
Banking news: Credit ratings of 3 Vietnamese banks upgraded by Fitch Ratings
Monday 28, 11 2022

Banking news: Credit ratings of 3 Vietnamese banks upgraded by Fitch Ratings

Fitch Ratings has recently upgraded the long-term issuer default ratings...
0
0
+84 981861066