...Negative Outlook on IDRs: Fitch Ratings has a Negative Outlook on the IDRs of FirstRand, Nedbank, Absa and SBSA and the respective group companies of the last three banks. This mirrors the Negative Outlook on South Africa's rating of `BBB'. Concentration of assets in South Africa, particularly in loans and government securities, means that if the sovereign rating is downgraded by one notch, then the IDRs of the four major banks (and their rated group companies) will be downgraded by one notch. Investec and its group have Stable Outlooks as their ratings are below the effective sovereign cap. Viability Ratings Drive IDRs: FirstRand, Nedbank, SBSA and Investec have IDRs driven by their Viability Ratings (VRs; standalone creditworthiness). The IDRs of BAGL and Absa are driven by the probability of support from parent Barclays Bank plc (A/Stable). Domestic Operating Environment Caps VRs: Absa, FirstRand, Nedbank and SBSA all have VRs of `bbb', which are capped by the operating environment....
