Fitch Ratings on Aug. 13 assigned Ecuador-based Banco Guayaquil SA a B- long-term issuer default rating, with a negative outlook.

In assigning the rating, Fitch said Banco Guayaquil showed improved profitability, high capitalization levels, sound asset quality and solid liquidity. The bank compares favorably with its local and international peers in these indicators, Fitch noted.

On the other hand, the negative outlook reflects a similar outlook on Ecuador, with the operating environment limiting the bank's potential growth. Fitch said the bank's asset quality and other financial metrics could face some strain in the next 12 to 24 months given its risk appetite amid Ecuador's economic condition.