Fitch Affirms Caribbean Development Bank at 'AA+'; Outlook Stable

• Fitch Ratings has affirmed the Caribbean Development Bank's (CDB) Long-Term Issuer Default Rating (IDR) at 'AA+' with a Stable Outlook.
• CDB's 'AA+' Long-Term IDR reflects the bank's intrinsic credit profile, underpinned by liquidity and solvency assessments of 'aaa' and 'aa+', respectively. The Stable Outlook reflects Fitch's view that the bank will maintain excellent capitalization levels and liquidity buffers over the current strategic period (2020-2024).
• Developments that could, individually or collectively, trigger positive rating action are: A material improvement in concentration risk or asset quality metrics, potentially driven by greater exposure to higher rated borrowers.
• Conversely, developments that, individually or collectively, could trigger negative rating action are: Increased concentration risk as evidenced by greater exposure to the bank's largest borrowers, including Barbados. A breach of PCS on its sovereign exposures or an increase in the bank's risk profile driven by higher non-sovereign exposures. Deterioration of the bank's business environment as a result of significant credit quality deterioration in the bank's countries of operations.

(Source: Fitch)