Fitch affirms Thailand’s Krung Thai Bank
Fitch Ratings has affirmed the ratings of Krung Thai Bank Public Company Limited (KTB), notwithstanding weaker results in 2007 due to higher provisioning, as its performance is expected to improve in 2008. KTB’s ratings are as follows: Long-term foreign currency Issuer Default Rating (IDR) at ‘BBB+’ with a Stable Outlook, Short-term foreign currency rating at ‘F2′, Individual rating at ‘C/D’, Support rating at ‘2′, Support rating floor at ‘BBB’, foreign currency subordinated debt rating at ‘BBB’, foreign currency rating on offshore hybrid Tier 1 securities at ‘BBB-’ (BBB minus), National Long-term at ‘AA+(tha)’ with a Stable Outlook, National Short-term at ‘F1+(tha)’, National subordinated debt rating at ‘AA(tha)’ and National rating on domestic hybrid Tier 1 securities at ‘A+(tha)’.
Fitch notes that KTB’s ratings are underpinned by strong government ownership and support.
KTB is the second-largest Thai bank with an 18% market share with the Bank of Thailand’s Financial Institutions Development Fund (FIDF) holding a 55.3% stake. — www.theasianbanker.com (November 30 2007)–