Bangkok--12 Dec--Fitch Ratings
Fitch Ratings (Thailand) Limited has today affirmed the National Long-term rating of Central American Bank for Economic Integration’s (CABEI) THB2.374bn senior unsecured bonds, due 2017, at ‘AA+(tha)’. This follows the agency’s affirmation of CABEI’s Long-term foreign currency Issuer Default Rating (IDR) at ‘A-’ (A minus)/Stable Outlook and its Short-term foreign currency IDR at ‘F2’.
CABEI’s ratings reflect its preferred creditor status and privileges conferred by its member countries, as well as its solid fundamentals (including a strong capital base), good asset quality and an established track record, in terms of self sustainable profitability. The ratings are limited by the volatility of the economic environments in which the institution operates, its significant loan concentration and the member countries’ creditworthiness. CABEI’s ratings also factor in a relatively high average exposure to the private sector.
CABEI is a Central American Multilateral Development Bank (MDB) based in Honduras. It is not subject to local regulation and is immune from taxation. It is currently 59%-owned by its so-called five founding member states - Costa Rica, El Salvador, Guatemala, Honduras and Nicaragua. The remaining shares belong to seven non-regional members: Argentina, Colombia, Mexico, Taiwan, Spain, Dominican Republic and Panama. CABEI's objective is to fund development projects in Central America by channeling medium and long term foreign currency resources to both public and private institutions.
Contact: Darunee Peanmanakit, Vincent Milton, Bangkok +662 655 4755; Franklin Santarelli, New York +1 212 908 0739.