...Institutional Support Drives Ratings: Turk Ekonomi Bankasi A.S.'s (TEB) Issuer Default Ratings (IDRs) are driven by potential support from its controlling shareholder, BNP Paribas S.A. (BNPP, A+/Stable). BNPP has a 50% stake in TEB Holding ¡ which has 55% of the voting rights in TEB ¡ and a 44.8% stake in TEB. Fitch Ratings' view of support is based on TEB's strategic importance to its parent. Country Ceiling Constraint: TEB's Long-Term Foreign-Currency (FC) IDR is constrained by Turkey's Country Ceiling of `BBB-'. Its Local-Currency IDR also takes into account Turkish country risks. Moderate Franchise: TEB is a medium-sized bank with market shares of 3%-3.5% of assets, deposits and loans at end-9M17, which results in limited competitive advantages. Fairly Conservative Growth: TEB has a solid asset-quality record, shown by its low non- performing loans (NPLs, loans overdue by 90 days; end-2017: 2.9%), underpinned by growth and FC lending that are consistently below the sector average. A...
