Research Update: Nederlandse Waterschapsbank N.V. 'AAA' Long-Term Rating Placed On CreditWatch Negative Following Sovereign Action Dec 11
- Language: English
- Published: December 2011
The ratings on Nederlandse Waterschapsbank N.V. (NWB) are based upon the implicit support that the bank receives from the Ministry of Finance (MOF). NWB's ratings are also supported by the bank's effectively zero credit risk (as a result of its strict public sector lending remit), an exceptionally low cost base, strong capital ratios, and stable management. According to NWB's articles of association, the bank cannot lend to nor be owned by the private sector. The majority of lending is to housing associations, state and local governments, and water control boards. The bank also acts as a central treasury for the water control boards. Although NWB has commercial independence, central government support is indicated by the bank's shareholders, which are all...
Companies mentioned in this report are:
- Nederlandse Waterschapsbank N.V.
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Research Type: Full Analysis