S&P recognized that the Bank is able to generate capital from organic profitability
To “BB”, from “BB-“, with a positive outlook, the long-term credit rating of the Bank of Cyprus was upgraded by the rating agency S&P.
S&P's reasoning was based, according to a Bank of Cyprus announcement, on the significant progress that Cypriot banks have made towards balancing their funding profile, while reducing dependence from foreign depositors, the improved operating environment for Cypriot banks and the profitability prospects which have improved due to higher interest rates, improved efficiency and containment of Bank of Cyprus credit losses.
Furthermore, S&P acknowledged that the Bank is able to generate capital from organic profitability, despite returning to dividend distributions in 2023 (from full-year 2022 earnings).
Source: www.kathimerini.com.cy
