Fitch Ratings upgraded Transilvania Bank's rating by one notch above the country rating
Fitch Ratings the long-term issuer rating (IDR) of Banca Transilvania increased from "BBB-" to "BBB", one notch above the country rating.
As a rule, a bank's rating does not exceed the rating of the country in which it operates because macroeconomic and political risks affect the entire financial system: since it finances companies and the population, a bank is directly influenced by the evolution of GDP, inflation, interest rates, government policies, and fiscal stability.
Context of the increase of Banca Transilvania's rating above Romania's sovereign rating:
- Fitch has updated the rating criteria for some banks from Central and Eastern Europe, including Banca Transilvania.
- The new evaluation criteria highlight BT's resilience, supported by solid financial results and the ability to absorb economic shocks.
- Banca Transilvania has raised nearly 4 billion euros since 2023, through seven issuances of eligible MREL bonds, which has strengthened its status as an active issuer on the capital market in Romania and the region.
Fitch Ratings considers that Banca Transilvania is more resilient than the environment in which it operates due to strong financial performances, very good capitalization, access to international markets, and the financing strategy through eligible MREL bonds.
At the same time, Fitch emphasizes that the bank's long-term issuer rating remains influenced by Romania's sovereign rating, whose outlook remains negative.
Other ratings awarded to the bank by Fitch
Fitch has awarded Banca Transilvania and ratings for deposits:
- “BBB” for long-term deposits, one notch above the bank's viability rating (“bbb-”), reflecting an additional level of protection for customers.
- „F3” for short-term deposits, maintained at the same level.
BT Ratings
Rating category | Before the Fitch update | After the Fitch update |
IDR long term | BBB- / Negative | BBB / Negative |
IDR short term | F3 | F3 |
Viability rating (VR) | bbb- | bbb- |
Senior Non-Preferred | BBB- | BBB- |
Deposits (long term) | n.a. | BBB |
Deposits (short term) | n.a. | F3 |
Access to international markets
Transilvania Bank has consistent access to international capital markets due to its robust financial profile and financing strategy, aspects noted by Fitch Ratings and which have contributed to the increase of BT's long-term issuer rating.
Added to these are the notoriety and reputation that the bank has built over time, factors that strengthen investor confidence and facilitate attracting financing on competitive terms.
Next BT financial landmark
The bank will publish the financial results for the first quarter on May 22, 2026.
