Bank of Valletta plc - Moody’s confirms BOV’s credit ratings

In its latest ratings report on Bank of Valletta, Moody’s Investor Service said that BOV’s financial strength rating is underpinned by its dominant market position as well as the Bank’s “rebounding profitability on the back of improved operating efficiency, sufficient capitalisation and excellent liquidity and funding profile”. Moody’s has confirmed all BOV’s credit ratings – Baa1/Prime-2/D+ with a stable outlook.

Moody’s confirmed that “with a market share of over 40% BOV ranks as the largest Maltese bank”. It added that Bank of Valletta’s “strong franchise and complete range of financial services provides it with access to all business activities in the country and supports its financial strength rating (FSR).

In its report on BOV, Moody’s said that the Bank’s franchise value and dominance in the domestic market is supported by its strong retail lending operations which represent a core business objective in sustaining its growth potential and profitability.

Moody’s acknowledged that Bank of Valletta is Malta’s principal deposit-taking institution, commanding a market share of 46% in residents’ deposits. This strong retail deposit base provides BOV with access to ample liquidity, providing further potential for it to grow its balance sheet.

The complete report is available upon request.

Comments are closed.