Fitch Ratings on Oct. 5 revised the outlooks on Turkish lender DenizBank AS and units Deniz Finansal Kiralama AS and JSC DenizBank Moscow to positive from stable, following a similar action on ultimate parent PAO Sberbank of Russia.
Fitch affirmed the BB+ long-term foreign- and local-currency issuer default ratings of DenizBank, Deniz Finansal Kiralama and DenizBank Moscow and revised the outlook on the ratings to positive from stable. The AA(tur) national long-term ratings of DenizBank and Deniz Finansal Kiralama were also affirmed and their outlook revised to positive from stable.
All three financial institutions' B short-term foreign- and local-currency issuer default ratings and 3 support ratings were unaffected, as well as DenizBank's "bb" viability rating were unaffected, according to the agency.
The revision of the outlook of DenizBank's long-term issuer default ratings reflects the potential strengthening of Sberbank's capacity to provide support if needed, while the change in the outlook of the long-term issuer default ratings of Deniz Finansal Kiralama and DenizBank Moscow mirrors the revision in the outlook of DenizBank's long-term ratings.
The change in outlooks on the national long-term ratings of DenizBank and Deniz Finansal Kiralama reflect the possible improvement in their creditworthiness compared to other Turkish entities, according to Fitch.