Fitch rating for Banca Transilvania

Update December 24, 2024: Following Fitch's reassessment, the rating has been maintained and the outlook has been changed from stable to negative.

Fitch Ratings upgrades Banca Transilvania's rating from 'BB+' to 'BBB-' with a stable, long-term outlook.

The new investment grade rating reflects the improved operating environment of Romanian banks, now rated 'bbb-', as well as Banca Transilvania's strong position in the Romanian banking system. The result confirms BT's track record in prudent risk management, reflected in the bank's asset quality, robust capital ratios and profitability. An important role in Fitch's new rating was also played by the sound lending policy adopted by the bank, as well as its operational efficiency, internal capital generation capacity and stable funding profile.

BT is the leading bank in Romania, with over 20% of total assets, and a universal bank, serving over 4.4 million customers. Fitch emphasizes that the bank's business model provides a diverse lending portfolio with limited exposure to volatile sectors, which manages to generate high asset performance.