One of the two market leaders in Israel, with a strong presence in all key business lines. Improving efficiency ratios. Large domestic customer deposit base that underpins good funding and liquidity. Concentration in the real estate sector. Limited ability to diversify or raise fees. Regulatory attempts to limit market share. S&P Global Ratings' stable outlook on Bank Leumi le-Israel B.M. (Leumi) reflects our expectation that the bank will be able to contain asset quality deterioration while gradually building up capital amid the current difficult economic conditions in Israel. Specifically, we expect the bank's risk-adjusted capital (RAC) ratio will stand above 10% over the next two years, with asset quality metrics remaining broadly in line with domestic peers'. We could lower
