S&P applies BBB+/A-2 to Nafin certificates

Standard & Poor's said it assigned its A-2 foreign currency short-term issuer credit rating to Nacional Financiera, SNC (Nafin).

At the same time, the agency assigned its BBB+/A-2 foreign currency issue-level ratings to the bank's outstanding certificates of deposits (CDs) program of up to $2 billion, which may have a tenor of between seven days and five years. The CDs should rank at least equally with all of the bank's other present and future unsecured and unsubordinated external debt.

S&P said the CDs and credit ratings reflect Nafin's "adequate" business position, "adequate" risk position, "adequate" capital and earnings, "adequate" liquidity and "average" funding.

The bank is a government-related entity, so the ratings on it also reflect the agency’s opinion of an "almost certain" likelihood of extraordinary government support to Nafin given the view of its "critical" role and "integral" link to the government. Therefore, S&P equalizes the ratings on Nafin with those on Mexico (BBB+/stable/A-2).

The bank's standalone credit profile is bbb.

© 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.