...Strong Financial Profile: BBVA Banco Continental, S.A.'s (BC) Issuer Default Ratings (IDRs) are based on the bank's stand-alone financial strength as reflected in its Viability Rating (VR). The operating environment and the bank's robust company profile highly influence its VR. BC's VR also reflects its solid asset quality and ample reserves, consistent financial performance, diversified funding and adequate capital. Structural Constraints in Operating Environment: Constraints on the operating environment include the banking system's reliance on the central bank as a provider of foreign currency hedging and local currency liquidity, which Fitch Ratings views as a persistent feature of the financial system. Moderate Risk Appetite: BC's moderate risk appetite, as well as appropriate credit policies and risk management tools, have contributed to a track record of asset quality that is among the best in the country. BC's loans past due more than 90 days (PDLs) stood at 2.4% at year- end 2017and...
