A leading player in consumer lending and the largest financial conglomerate in Central America; BAC International Bank Inc.'s (BIB) funding structure leans on a stable and pulverized deposit base with manageable short-term financial obligations; and Highly diversified by geography, economic sector, and client, allowing us to rate the bank above the sovereign rating on Costa Rica (B/Negative/B), to which it is highly exposed. The pandemic-induced economic shock and with the region's political vulnerability represent a challenge for the bank's profitability and asset quality metrics; and Such vulnerabilities and the region's high economic risks weigh on the bank's risk-adjusted capital (RAC) ratio and our assessment of the bank's capital and earnings. The stable outlook on BAC International Bank Inc. (BIB) continues
