S&P lowers OTP ratings in line with sovereign downgrade
Ratings company Standard and Poor's on Tuesday said it lowered the long-term ratings on OTP Bank and its unit OTP Mortgage Bank to 'BB' from 'BB+', in line with a downgrade of Hungary's sovereign rating on Friday.
S&P lowered Hungary's sovereign rating because of the "continued weakening of the predictability of Hungary's policy framework, which [...] could affect the country's medium-term growth prospects".
The outlook for OTP's rating is stable, reflecting the outlook for Hungary's sovereign rating as well as S&P's expectation that OTP Bank's business and financial profile will remain relatively unchanged over the next twelve months.
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