City Bank has retained its issuer rating of B2 as per Moody鈥檚 Investors Service鈥檚 latest published credit opinion on the bank, said a press release.
The bank retained its B2 rating with an updated negative outlook that matches with the country rating that Moody鈥檚 has recently given to Bangladesh, which also reflects its moderate probability of support from the government of Bangladesh (B2 negative).
Moody鈥檚 credit opinion on City Bank included its moderate profitability and capital amid rising asset risks, which are balanced by its stable liquidity and improving deposit franchise.
Superior strength on consumer banking and credit card segments as well as strong liquidity and sizeable holdings of government securities are recognised as credit strengths of the bank.
However, elevated asset risks due to challenging operating conditions and significant sector concentration along with moderate capitalisation strength have influenced some of the key parameters of the rating.
