Rating Release

Agusto & Co. affirms the ‘Bbb-’ rating assigned to Lotus Bank Limited, with a stable outlook

 The rating expires on 30 June 2025.

 Agusto & Co. affirms the “Bbb-” rating assigned to Lotus Bank Limited (“Lotus Bank” or “the Bank”), reflecting the Bank’s good capitalisation on the back of strong shareholders’ support, good liquidity profile and experienced management team. However, these positive rating factors are constrained by the short operating history, the rising level of impaired credits, concentration in both the financing book and funding base, and the intensifying macroeconomic headwinds. We have assigned a ‘2’ ESG score which denotes that environmental, social and governance issues have minimal impact on the Bank’s credit risk.