Fitch Ratings has affirmed the AAA(lka) national long-term rating to NSB with stable outlook following their periodic review of the large banks peer group which was announced by the Fitch recently.
NSB is the first Sri Lankan bank to affirm AAA(lka) rating from Fitch Ratings and the only bank to retain the same rating for 15 consecutive years. This is a significant achievement by the Bank.
Fitch confirms that authorities would support, in case of need, the Bank's depositors and senior unsecured creditors to maintain confidence and systemic stability due to the Bank’s policy mandate of mobilising retail savings and investing them in government securities and explicit deposit guarantee provided by the NSB Act.
Further, AAA(lka) National Long-Term Rating of NSB is Stable, as National Rating reflects the Bank’s creditworthiness relative to the best credit in Sri Lanka, and as such, is unlikely to change due to sovereign rating action.
Fitch has affirmed the Long-Term Issuer Default Ratings (IDRs) of NSB as 'B+' with negative outlook which is equal to the sovereign rating.
Ratings affirmed to NSB by Fitch are as follows.
National Long-Term Rating affirmed at 'AAA(lka)'; Stable Outlook
Support Rating affirmed at '4'
Support Rating Floor affirmed at 'B+'
US dollar senior unsecured notes affirmed at 'B+'; Recovery Rating at 'RR4'
Long-Term Foreign-Currency IDR affirmed at 'B+'; Negative Outlook
Long-Term Local Currency IDR affirmed at 'B+'; Negative Outlook
NSB secures AAA(lka) Long-Term Rating for 15th year