Moody's issues inaugural rating for Romania's leading lender Banca Transilvania

Rating agency Moody's assigned on November 27 the first-time Baa2 /P-2 long- and short-term deposit ratings and Baa3/P-3 long- and short-term issuer ratings to Romania's largest lender, Banca Transilvania (BT).

Both grades are in the lower-medium investment grade, the first category above the non-investment region. The outlook on the bank's long-term bank deposit ratings and long-term issuer ratings is stable.

Moody's also assigned a ba1 Baseline Credit Assessment (BCA) to Banca Transilvania, which captures the lender's robust capital, with a reported Common Equity Tier 1 (CET1) capital ratio of 18.6% as of the end of June 2023, solid profitability metrics aided by the bank's leading market position and strong business growth potential, granular deposit-based funding and ample liquidity.

"We are glad that Banca Transilvania (BT) is rated by two international agencies, one of them being Moody's [and the other being Fitch], which confirms BT's solid position," said Ӧmer Tetik, General Manager, Banca Transilvania.

He underscored the importance of the rating for keeping the cost of capital at the lowest possible level in the context of rising capital requirements in Romania and the European Union.

(Photo source: Banca Transilvania)