Risk-adjusted capital (RAC) ratio of Mexico-based bank Banca Mifel has continued to improve thanks to stronger financial performance, while the lender continues expanding its commercial credit business. However, the bank still has a small market share. We're affirming our 'BB/B' global scale and 'mxA/mxA-2' national scale issuer credit ratings on the bank, and our 'B' issue-level rating on the bank's fixed-rate cumulative subordinated preferred notes. The stable outlook reflects our expectation that Banca Mifel's internal capital generation will continue to increase while supporting a RAC ratio of 9.7% on average for the next two years. On Dec. 21, 2017, S&P Global Ratings affirmed its 'BB/B' global scale and 'mxA/mxA-2' national scale ratings on Banca Mifel S.A. The outlook for both
