PSBank gets top credit rating

The Metrobank group’s subsidiary Philippine Savings Bank (PSBank) has obtained the highest issuer rating of PRS Aaa (corp.) from local credit watcher Philippine Rating Services Corp.

A company with this rating is deemed to have a very strong capacity to meet its financial commitments relative to that of other firms. It is the highest corporate credit rating on Philratings’ scale.

An issuer rating is an opinion on the general and overall creditworthiness of the issuer, evaluating its ability to meet all its financial obligations within a year. The focus is on financial strength and stability under normal and stressed conditions to be able to meet existing and prospective financial obligations.

PSBank is the country’s second-largest thrift bank with assets of P237.7 billion as of end-2018. It ended last year with 250 branches and 575 automated teller machines.

In a statement, Philrating said the rating had taken into consideration the bank’s “solid market position; its well-defined and forward-looking strategy; highly experienced management, and continued growth in core interest income, attributable to loan portfolio expansion.”

PSBank is considered a significant player in the domestic consumer market with 91.4 percent of its loan portfolio accounted for by consumer loans as of end-2018. —DORIS DUMLAO-ABADILLA