Stable and diversified funding base primarily consisting of customer deposits, while liquidity position is stronger than those of domestic peers; Strong market position, a long track record, and expertise in the domestic banking system; and Diversified income sources that contribute to business stability and adequate results. Banking operations based in Bolivia, which limits the bank's credit profile and ratings; Competitive environment and margins are pressured as result of tight regulatory requirements and current economic lockdown; and Narrow capitalization levels according to our risk-adjusted capital framework. The stable outlook on Banco Union reflects that on Bolivia, which in turn reflects a forecast gradual correction of Bolivia's fiscal and current account deficits after the negative shocks stemming from lower oil prices and
