Good competitive position in Argentina's financial system; and Low-cost, diversified deposit base from its solid franchise in the country. Lower levels of Tier 1 capital compared to industry average; Transactional system with very low access to credit and short-term funding; and Still very challenging economic and political conditions in the country, with a contracting economy and high inflation. The stable outlook on Banco Galicia for the next 12 months mirrors the one on the sovereign, given that the latter limits the ratings on the bank. Additionally, we expect Banco Galicia to maintain its competitive position as one of the largest banks in the Argentine financial system and manageable asset quality metrics at around 4.0%-4.5%, in line with system metrics, which
