Fitch downgrades NDB; affirms 8 Lankan banks, Negative Outlook on DFCC, Sampath

Fitch Ratings has downgraded National Development Bank PLC’s (NDB) National LongTerm Rating to ‘A+(lka)’ from ‘AA(lka)’. The ratings on eight other Sri Lanka banks have been affirmed. The agency also revised the Outlook on DFCC Bank PLC’s (DFCC) and Sampath Bank PLC’s (Sampath) National LongTerm Ratings to Negative.

The LongTerm Issuer Default Ratings (IDRs) on National Savings Bank (NSB) and Bank of Ceylon (Bank of Ceylon) have been affirmed at ‘B+’ and their National LongTerm Ratings have been affirmed at’AAA(lka)’ and ‘AA+(lka)’, respectively. 

The Outlooks on the IDRs of NSB and Bank of Ceylon have been maintained at Negative while the Outlooks on their National LongTerm Ratings have been maintained at Stable. Fitch has also affirmed the National LongTerm Rating of People’s Bank (Sri Lanka) (People’s Bank) at ‘AA+(lka)’ with a Stable Outlook.

Furthermore, Fitch has affirmed the National LongTerm Rating of Commercial Bank of Ceylon PLC (CB) at ‘AA(lka)’, Hatton National Bank PLC (HNB) at ‘AA( lka)’, and Seylan Bank PLC (Seylan) at ‘A( lka)’. DFCC’s Support Rating Floor (SRF) was revised to ‘B’ from ‘B’.