Third international rating agency placed IIB’s rating on positive outlook over the past 12 months
The leading international rating agency of China, Dagong Global Credit Rating Co., Ltd., became the third international rating agency to place the International Investment Bank’s (IIB) rating on positive outlook over the past 12 months. The outlook on the IIB’s rating, which now stands at A positive, was increased owing to improving economic conditions across the IIB’s member states, increased operating efficiency namely through diversification and improved risk management.
Chief Economist of the IIB, Elliott Auckland, said: “The recent positive rating dynamics are a reflection of the Bank's successful implementation of its 2013-2017 strategy as well as the quality of 2018-2022 strategy. Given that a positive outlook typically reflects a 1/3 chance of a full rating upgrade, it is quite clear that the IIB with three positive outlooks can expect further rating appreciation over the next 12 to 24 months as the bank continues its policies of diversifying its loan portfolio and improving the quality of treasury assets”.
In December of the last year, Fitch Ratings raised the IIB’s BBB rating to positive outlook citing “the continuing diversification of the bank’s operations in Central and Eastern Europe”. In May, Moody’s Investors Service also raised the IIB’s Baa1 rating to positive outlook citing the improved diversification and quality of the Bank’s treasury assets. In June, S&P Global Ratings confirmed the IIB’s rating at BBB stable citing the Bank’s strong financial profile.