Fitch Affirms BAI at 'B+', Outlook Negative; Withdraws Ratings
OREANDA-NEWS. Fitch Ratings has affirmed Banco Angolano de Investimentos S.A.'s (BAI) ratings and simultaneously withdrawn them. Fitch is withdrawing the ratings for commercial reasons and because they are no longer relevant to Fitch's coverage. A full list of rating actions is at the end of this comment.
KEY RATING DRIVERS
IDRS, SUPPORT RATING AND SUPPORT RATING FLOOR
BAI's IDRs, Support Rating and Support Rating Floor reflect a limited probability of support for BAI from the Angola authorities, and the Negative Outlook reflects that on the sovereign (see rating action commentary dated 31 March 2016, "Fitch Revises BAI's Outlook to Negative; Affirms at 'B+'" on www.fitchratings.com).
BAI's Viability Rating of 'b' is under pressure from a weakening operating environment in Angola. Angola's economy is highly reliant on oil export revenues and falling oil prices have led to slower growth, a weak exchange rate, higher inflation and tighter monetary policy.
The rating actions are as follows:
Banco Angolano de Investimentos S.A.
Long-term IDR affirmed at 'B+'; Outlook Negative and withdrawn
Short-term IDR affirmed at 'B' and withdrawn
Support Rating affirmed at '4' and withdrawn
Support Rating Floor affirmed at 'B+' and withdrawn
Viability Rating affirmed at 'b' and withdrawn