S&P Global Ratings on March 29 changed to stable from negative the outlook on DNB Bank ASA and affirmed the DNB ASA unit's long- and short-term counterparty credit ratings at A+/A-1.

The outlook revision reflects the agency's view that the bank's improved capitalization, tightening efficiency and bail-in buffers would offset the negative economic trends dampening Norway's banking sector.

S&P may upgrade the bank if it improves its loss absorbing capacity to further mitigate bail-in risks for senior unsecured creditors, among other factors, while downward pressure could come from a risk of sharp deterioration of asset quality for DNB-specific exposures.

S&P Global Ratings and S&P Global Market Intelligence are owned by S&P Global Inc.