Fitch rates Garanti notes BBB-

Fitch Ratings said it assigned a BBB- rating to Garanti Diversified Payment Rights Finance Co.'s (Garanti DPR) $150 million series 2019-A notes.

The outlook is negative.

The ratings address the likelihood of timely payment of interest and principal, Fitch said.

The agency also said it affirmed the outstanding rated notes at BBB- with a negative outlook following the issue of the new series.

Garanti DPR is a securitization of diversified payment rights (DPRs) originated by Turkiye Garanti Bankasi AS.

DPRs are payment orders processed by banks and mainly reflect payments due on the export of goods and services, capital flows, tourism and personal remittances, the agency said.

Garanti DPR has purchased all present and future DPRs denominated in dollars, euros and pounds from Garanti, financed through issued notes that are secured on the DPRs, Fitch said.

The downgrade to one notch lower than the sovereign long-term local-currency issuer default rating reflects a view of a higher risk of government intervention in the bank in the event of a stress on Turkey's external finances, the agency said.

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