Rating agency Fitch has reconfirmed the long-term default ratings of the local lenders BCR, Banca Transilvania, BRD Societe Generale and UniCredit Bank Romania with a stable outlook. It has increased the viability rating of BCR.

These banks are well capitalized, generally have good coverage of bad credit provisioning and their non-performing loans ratios have declined over the past year, according to Fitch.

Erste, Societe Generale and UniCredit Bank “will continue to have a high propensity to support their Romanian subsidiaries because Romania and the wider central and eastern European region remain strategically important for each of them," writes Fitch.

BCR, which is part of the Austrian group Erste, has received the BBB+ rating for the long-term default risk, which is at the same level as Romania's Country Ceiling (BBB+). This reflects the stable outlooks on Romania and on Erste.

BRD’s long-term foreign-currency default rating (BBB+) is currently constrained by Romania's country ceiling. UniCredit Bank has a BBB- rating due to lower capital ratios. BT's BB default rating, the lowest of the four analyzed banks, is driven by its standalone creditworthiness, according to Fitch.

editor@romania-insider.com