Moody's upgraded Krungsri's credit rating, making it the highest among D-SIBs

Tuesday 25 April 2023 11:09
Krungsri (Bank of Ayudhya PCL) announced that Moody's Investors Service has upgraded Krungsri's long-term foreign-currency deposit rating to A3 from Baa1 with a stable outlook, which is the highest credit rating among Thailand's Domestic Systemically Important Banks (D-SIBs). Moody's also affirmed the Bank's short-term foreign-currency deposit rating at P-2 and upgraded the Bank's Baseline Credit Assessment (BCA) to baa2 from baa3.
Moody's upgraded Krungsri's credit rating, making it the highest among D-SIBs

The upgrade of Krungsri's ratings reflects improvements in the Bank's solvency metrics, particularly in terms of capitalization and profitability, as well as Moody's Investors Service's expectation that the Bank's asset quality will remain largely stable over the next 12-18 months.

Moreover, the credit rating outlook reflects Moody's assumption of a very high likelihood of support from Krungsri's parent, MUFG. Also, Moody's considers the Bank to be a major subsidiary of MUFG in terms of profit contribution and strategic importance.

Source: Bank of Ayudhya