...Banco Hipotecario del Uruguay (BHU) has a Baseline Credit Assessment (BCA) of baa3, which reflects the bank's low problem loan ratios, which have remained consistently below the system's average ratio in recent years, the strong level of its capital position and steady access to stable, low-cost core deposits. In addition, the baa3 BCA incorporates the lack of revenue diversification in BHU's franchise as a monoline lender and the relatively low volume of liquid resources in the bank's balance sheet. On 18 March 2024, we upgraded BHU's BCA to baa3 from, from ba1, and long-term local- and foreign currency deposit ratings to Baa1, from Baa2. The bank's deposit ratings incorporate the full and unconditional guarantee of the bank's obligations by the Government of Uruguay (Baa1, Stable), which is the bank's only shareholder....