Fitch Upgrades CABEI's Credit Rating to 'AA' with Positive Outlook
Fitch Ratings upgraded the Central American Bank for Economic Integration (CABEI) long-term credit rating from 'A+' in 2019 to 'AA', placing it two notches higher. The agency also assigned a positive outlook and an 'F1+' short-term rating, aligning CABEI with top-tier multilateral banks. Fitch cited the bank's strong financial self-sustainability, excellent solvency, prudent balance sheet management, and improved loan portfolio diversification as key factors behind the upgrade. The share of CABEI’s five largest exposures dropped from 75% to 61%, driven by Exposure Exchange Agreements totaling over $2.1 billion with other development banks. The bank has also maintained a virtually arrears-free credit performance for more than ten years, demonstrating strong operational discipline and risk management. CABEI's Executive President Gisela Sánchez emphasized the significance of this upgrade as part of broader institutional transparency efforts and strategic growth plans. Fitch expects CABEI’s financial profile to continue improving through further diversification, higher-rated borrower exposure, and membership expansion facilitated by its Ninth General Capital Increase.
Topics: CABEI Credit Rating Fitch Ratings Multilateral Development Bank