November 26, 2024 14:33 GMT
FINANCIALS: BKIR & AIB Positive Outlooks
FINANCIALS
Bank of Ireland (BKIR) and Allied Irish Bank (AIB) - Positive outlooks from S&P
• Reflects the view that both banks will continue to produce strong risk adjusted RoA's despite falling interest rates in coming years
• Stronger risk management and better digital footprints closing gap to higher rated peers.
• Cost of risk expected to stay at 20-30bps through the cycle
• S&P risk adjusted capital ratios to remain at 14% and 13% for AIB and BKIR respectively through 2026.
• Progress and stability in all areas will eventually trigger and upgrade, without major profitability or asset quality hiccups.
Link to S&P press release https://mni.marketnews.com/4hZkJAp
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