Moody's rates Kexim notes Aa3

Moody's Investors Service said it assigned an Aa3 rating to The Export-Import Bank of Korea's five-year CHF 350 million take down from its euro medium-term note program.

The outlook is stable.

The ratings reflect Moody's methodology, including a baseline credit assessment of 7, the Aa1 local-currency deposit ceiling of South Korea, high dependence and high support.

The bank, also known as Kexim, has currency bonds that were upgraded from A3 to Aa3 in October. This resulted from the revision of Moody's government-related issuer rating methodology, whereby the local-currency deposit ceiling, Aa1 in South Korea, is now used as the rating to represent the government's ability to provide extraordinary support instead of the government's local-currency bond rating, the agency said.

Kexim's Aa3 rating pierces South Korea's country ceiling for foreign-currency debt and is determined by the bank's local-currency rating (unpublished), South Korea's A3 foreign-currency government bond rating, South Korea's A1 country ceiling for bonds and the debt's eligibility to pierce the ceiling, Moody's added.

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