Fitch lowers Argentina banks views to negative

Fitch Ratings said it revised the outlook on the long-term issuer default ratings for several Argentine financial institutions and two related Uruguayan branches of Argentine financial institutions to negative from stable.

The institutions include Banco Santander Rio SA, BBVA Banco Frances SA, Banco Macro SA, Banco Supervielle SA, Tarjeta Naranja SA, Banco de la Ciudad de Buenos Aires, Banco Hipotecario SA, Banco de la Nacion Argentina and Provincia Casa Financiera.

These actions follow the revision of the outlook on Argentina's sovereign rating Nov. 7, Fitch said.

The rated entities are among the largest private-sector financial institutions in the country, the agency said.

Regardless of their overall adequate financial condition, these companies' ratings are directly affected by the low sovereign rating of Argentina, given the influence of the challenging operating environment on their performances.

Fitch said it sees downside risks amid a nascent economic recession, raising inflation and an upcoming election cycle that may negatively impact the performance of these institutions.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.