High likelihood of support from its majority shareholder, the Republic of Peru; Operates in a banking system with a strong track record of adequate regulation and good economic growth prospects; and Good business stability reinforced by its role in supporting Peru's crucial infrastructure needs. Concentrated business profile; and Higher-than-average external funding dependence, mitigated by the long-term nature of the funding. The stable outlook on COFIDE for the next 18-24 months reflects that on the sovereign, given our view of a high likelihood that the latter would provide extraordinary and timely support to the bank in the event of financial distress, in accordance with our criteria for GREs. If COFIDE disposes its investments in CAF shares that would benefit its capital
