Rating

Fitch Ratings

On August 31, 2023, the Fitch Ratings revised the Long-Term National Rating of Banese to ‘AA+(bra)’, Stable Outlook, after recalibrating its Correspondence Table of National Rating following the upgrade of Brazil’s Sovereign Rating. The National Short-Term Rating remains ‘F1+(bra)’. Banese’s domestic ratings reflect Fitch’s opinion that, if required, the bank would receive support from its controlling shareholder, the state of Sergipe, whose credit profile is evaluated by the agency internally. Fitch believes that Banese is strategically relevant for Sergipe, since it is the main financial agent of the local government and has a significant market share in credits and deposits in the state. According to the agency, the bank has a stable business model and adequate economic-financial indicators.

Moody’s Local BR Agência de Classificação de Risco Ltda. (“Moody’s Local”)

Moody’s Local BR Risk Rating Agency upgraded, on November 29, 2024, the long-term deposit and issuance rating from A+.br to AA-.br and affirmed the short-term deposit rating at ML A-1.br, both with a stable outlook. These ratings reflect, among other factors, the strong governance support provided by the Government of Sergipe through its participation in capital market fundraising efforts since 2023, which are projected to total approximately 100 million reais by the end of 2024. They underscore Banese’s significant role in the local market, given its substantial participation in credit and deposit operations. Additionally, the agency also considers the bank’s improved credit profile, driven by enhanced capitalization supported by capital market fundraising and retained earnings.

Rating Agencies Classification