...Capital, Prudent Risk Appetite: Caja Rural de Navarra, Sociedad Cooperativa de Credito's (CRN) ratings are driven by its sound capitalisation, including low capital encumbrance by unreserved problem assets, and conservative underwriting standards that have remained stable through business cycles. The ratings also reflect strong asset-quality metrics, which have been significantly better than the sector average through economic cycles, and stable funding and liquidity. Robust Capitalisation: CRN maintains relatively strong capital buffers above regulatory requirements, supported by its high earnings retention rate. The bank's regulatory Common Equity Tier 1 (CET1) ratio of 16.8% at end-2019 is high by Spanish and international standards and remains well above the regulatory requirements. Capital at risk from unreserved proble m assets was low at 7% of regulatory CET1 at end-2019. Sound Asset Quality: CRN has managed to maintain stronger-than-peers and stable asset- quality indicators through...
