Fitch upgrades ratings of RI banks

Fitch upgrades ratings of RI banks

The Jakarta Post, Jakarta

International rating agency Fitch Ratings has upgraded a number
of local banks following recent upgrade in the country's
sovereign ratings.

The agency said in statement issued on Tuesday that it had
upgraded the long-term foreign currency rating of the giant
state-owned Bank Mandiri to B+ from B, with a stable outlook.

"The rating for its US$300 million senior unsecured notes due
2008 has also been upgraded to B+ from B," it said.

Fitch added that the ratings for the bank's $125 million
subordinated notes due 2006 and $125 million subordinated notes
due 2012 were also affirmed at B.

Fitch last week upgraded Indonesia's currency rating, citing
improving stability in the country's macroeconomy and declining
trends in the government's debt level to around 70 percent of
gross domestic product (GDP) from 100 percent of GDP three years
ago.

The rating upgrade is expected to help improve investor
confidence ahead of the government's international bond offering
next year.

Other Indonesian banks whose ratings were upgraded by Fitch
are as follows:

Bank Negara Indonesia: Long-term foreign and local currency
ratings upgraded to B+ from B. The rating for its $150 million
subordinated notes is upgraded to B from B- (B minus). The
outlook is stable.

Bank Central Asia: Long-term foreign currency rating upgraded
to B+ from B. The outlook is stable.

Bank Rakyat Indonesia: Long-term foreign currency rating
upgraded to B+ from B. The outlook is stable.

Bank Danamon Indonesia: Long-term foreign currency rating
upgraded to B+ from B. The outlook is stable.

Bank Internasional Indonesia: Long-term foreign currency
rating upgraded to B from B-. The outlook is stable.

Bank NISP: Long-term foreign and local currency ratings
upgraded to B+ from B. The outlook is stable.

Bank Buana Indonesia: Long-term foreign currency rating
upgraded to B+ from B. The outlook is stable.