The assignment of the final rating follows the receipt of final documents conforming to the information already received. The final rating is the same as the expected rating assigned on 15 May 2019.
KEY RATING DRIVERS
Fitch rates the senior notes at the same level as EXIM's Long-Term Foreign-Currency Issuer Default Rating (IDR) of 'BBB+' as they constitute the bank's unsecured and unsubordinated obligations.
EXIM's ratings are equalised with the Thai sovereign's Long-Term Foreign-Currency IDR, and reflect Fitch's belief that the government would provide extraordinary support to the bank. EXIM is a state policy bank established under specific legislation, and wholly owned by the Thai Ministry of Finance, which controls the bank's management and strategy.
RATING SENSITIVITIES
The rating on the senior unsecured notes would be directly affected by any changes in EXIM's Long-Term Foreign-Currency IDR, which in turn would be sensitive to changes in Thailand's sovereign rating. EXIM's rating could also be downgraded if the sovereign's propensity to support the bank were to weaken. This may happen if the state were to reduce its shareholding significantly or if the bank changes its legal status. However, Fitch deems such events as unlikely in the medium term.
For further details on EXIM's key rating drivers and sensitivities, refer to the rating action commentary "Fitch Affirms Five Thai State Policy Banks", dated 13 November 2018.