DBS Bank Ltd.

Largest bank in Southeast Asia and the market leader in Singapore. Strong deposit funding boosted by flight to quality during the market turmoil related to COVID-19. Intense credit risk in major markets amid the pandemic and its devastating economic impact. The stable outlook on DBS Bank Ltd. reflects our expectation that the bank will maintain its high systemic importance in Singapore and solid financial footing over the next 24 months at least. We believe both positive and negative rating actions are unlikely over the next one to two years. The bank's stand-alone credit profile (SACP) would need to decline by at least two notches for a downgrade. We may revise downward our assessment of DBS' SACP if the bank's asset

...Intense credit risk in major markets amid the pandemic and its devastating economic impact. Outlook: Stable The stable outlook on DBS Bank Ltd. reflects our expectation that the bank will maintain its high systemic importance in Singapore and solid financial footing over the next 24 months at least. We believe both positive and negative rating actions are unlikely over the next one to two years. The bank's stand-alone credit profile (SACP) would need to decline by at least two notches for a downgrade. We may revise downward our assessment of DBS' SACP if the bank's asset quality shows less resilience than we expect in the current credit cycle because of COVID-19. A much higher nonperforming loan (NPL) ratio or increased credit costs than our base-case assumptions could indicate such deterioration. A lower SACP will lead to the downgrade of the bank's hybrid securities. We notch down the ratings on the securities with the SACP as a starting point....

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