Moody’s Investor Services will review ACLEDA Bank and Cambodian Public Bank (Campu Bank) for potential downgrades, according to a release from the rating agency on Wednesday. But the move comes primarily as a response to the global financial crisis and the rating agency’s attempt to realign sovereign ratings with that of banks, an official at Moody’s said.
The reviews and potential downgrades could be the final rating action in response to Moody’s policy change, Singapore-based analyst Christian de Guzman said by email yesterday.
Moody’s will review ACLEDA’s and Campu’s “bank financial strength rating”, both of which stand at a D, according to a statement issued late on Tuesday. ACLEDA’s “local currency long-term deposit and issuer rating”, now at a Ba2 rating, will also be up for review.Banks rated D display modest intrinsic financial strength, potentially requiring some outside support at times, according to Moody’s.
Moody’s to review Cambodia’s banks for downgrades