Moody’s upgrades ratings of five Egyptian banks: report

Moody’s Investors Service upgraded the long-term local-currency deposit ratings of five Egyptian banks, according to a statement released on Tuesday.

The global rating agency upgraded the long-term local-currency deposit ratings of National Bank of Egypt (NBE), Banque Misr, Banque Du Caire, and Commercial International Bank (CIB) to B2 from B3, and their long-term foreign currency deposit ratings to B3 from Caa1, with a stable outlook.

“The rating agency has also upgraded Bank of Alexandria long-term local currency deposit rating to B1 from B2, and its long-term foreign currency deposit rating to B3 from Caa1,” Moody’s said.

Moody’s Investors Service changed Egypt’s long-term foreign and local currency issuer ratings to “B2” from “B3” with a stable outlook.

The global rating agency also changed the North African country’s macro profile to ‘Weak’ from ‘Very Week’, reflecting the improvement of local banks’ operating conditions.

“By changing Egypt’s Macro Profile to Weak-, the rating agency recognizes the improving operating conditions for banks owing to the continued economic recovery, improved business environment and implementation of structural reforms,” Moody’s revealed.