Good market position and long track record in the Guatemalan banking industry Liquidity supported by its large, well-diversified deposit base and long-term funding sources Adequate profitability Nonperforming assets (NPAs) not covered and asset quality deteriorating High client concentration in its commercial business The small size of Guatemala's economy Capitalization and profitability levels limited by double leverage Challenging economic environment and stiff competition Standard&Poor's Ratings Services' ratings on Banco G&T Continental S.A. reflect the bank's high concentration in certain clients, its low coverage of NPAs, and its significant exposure to on-balance-sheet foreign currency risk. Deteriorating asset quality and persistent double leverage limit the bank's adjusted capitalization and profitability, and also constrain the ratings. However, G&T Continental's good market position
