Strong capitalization Good foreign currency funding ability and liquidity Relatively limited exposure to risky industries Relatively weak local market position Potential credit risks posed by increased household leverage Stiffening competition The ratings on Citibank Korea Inc. (CKI: BBB+/Stable/A-2) reflect its strong capitalization, good foreign currency funding ability and liquidity backed by its overseas group affiliates, and relatively limited exposure to risky industries. These strengths are offset by the bank's relatively weak market position, rising credit risks posed by increased household leverage and potential interest rate rises, and stiffening competition. The ratings on CKI directly reflect its stand-alone credit profile, and no longer incorporate group support since Standard&Poor's believes that there is uncertainty about the willingness of the U.S
