Thu, 24 Jun 2021 Today's Paper

NDB withdraws from int’l rating arrangement with S&P

22 March 2017 10:06 am - 0     - {{hitsCtrl.values.hits}}

A A A

Standard & Poor’s (S&P) has affirmed National Development Bank PLC’s (NDB) long-term and short-term issuer credit rating at ‘B’ with a stable outlook in its report dated March 20, 2017. 
The affirmation is given on the ratings issued by S&P in December 2016. 
The affirmation also comes along with S&P’s withdrawal of all ratings on NDB at the bank’s request.
NDB engaged the international rating agency S&P in 2013 for international credit ratings as a part of the then proposed US dollar bond, which the bank envisaged to issue in the international market. 
The issuance of the bonds did not materialize due to unfavourable market conditions/rates which prevailed at that point of time. As such the bank presently is not in need of an international issuer rating, hence the bank’s management decided to discontinue the rating agreement with S&P.

S&P’s report states that the affirmed rating at the time of withdrawal reflected the rater’s expectation that NDB will maintain its satisfactory business and revenue diversification over the next 12 months.
In the rater’s view, the bank has an adequate risk position for its size and business scale. The rater has also commented on the bank’s funding profile, capital and earnings. Infusing fresh capital to support the bank’s rapidly expanding franchise and improving the bank’s earnings for sustained shareholder value remain key strategic priorities for the bank.
The outlook on the long-term issuer credit rating was stable at the time of the withdrawal. The stable outlook reflected S&P’s view that NDB is relatively insulated over the next 12 months compared to peers from potential heightening of economic risks facing all financial institutions operating in Sri Lanka.
NDB continues its rating with Fitch Ratings Lanka Limited for national long-term rating as well as instrument ratings. The bank’s national long-term rating is A+(lka) with a stable outlook and its Basel-compliant subordinated term debt is rated at A(lka). 

 

See Kapruka's top selling online shopping categories such as Toys, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

  Comments - 0

See Kapruka's top selling online shopping categories such as Toys, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

 

 

Add comment

Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.

Reply To:

Name - Reply Comment


SLPP eats humble pie over fuel price hike statement

The statement put out by SLPP (Sri Lanka Podujana Peramuna) General Secretar

GSP+: Isn’t there a way out?

The European Parliament’s resolution on Sri Lanka on June 10 was the second

Is Litro Gas above the regulator?

After an in-house battle among members of the top management of the Consumer

Statistical blunders expose administrative weaknesses

Information helps save lives and during a pandemic a free-flow of vital, accu



See Kapruka's top selling online shopping categories such as Toys, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.