Moody’s upgrades PNB rating, sees downgrade risk for Security Bank
FILE PHOTO: Signage is seen outside the Moody’s Corporation headquarters in Manhattan, New York, U.S., November 12, 2021. REUTERS/Andrew Kelly
MANILA, Philippines — Moody’s Ratings upgraded its seal of creditworthiness for Philippine National Bank (PNB) on the back of “sustained improvement in core profitability, robust capital and solid liquidity.”
The global debt watcher upgraded its badge of creditworthiness for PNB from “Baa3”, the minimum investment grade, to “Baa2”.
The credit rating agency likewise changed its outlook on the bank from “positive” to “stable”, meaning that the rating is unlikely to change within the next 12 to 24 months.
At the same time, Moody’s kept its Baa2 investment-grade rating for Security Bank, but revised its outlook on the bank from stable to negative.
The global debt watcher upgraded its badge of creditworthiness for PNB from “Baa3”, the minimum investment grade, to “Baa2”.
The credit rating agency likewise changed its outlook on the bank from “positive” to “stable”, meaning that the rating is unlikely to change within the next 12 to 24 months.
READ: PNB nets P21.2B in 2024
Possible downgrade for Security Bank
At the same time, Moody’s kept its Baa2 investment-grade rating for Security Bank, but revised its outlook on the bank from stable to negative.
A negative outlook means there’s a higher probability of a rating downgrade within one to two years.
“We revised the outlook on Security Bank’s deposit, issuer and senior unsecured ratings to negative from stable mainly because of negative pressure on the bank’s capital buffer,” the debt watcher said.
READ: Security Bank net income surges to P11.2B in 2024
Moody’s Rating Scale
