Standard&Poor's Ratings Services' ratings on National Commercial Bank Jamaica Ltd. (NCB) are constrained by the sovereign ratings on Jamaica because sovereign bonds and loans to public entities represent most of NCB's assets. The ratings are also constrained by NCB's larger-than-peer loan concentration in its main clients and its operating in a relatively small, highly indebted, and nondiversified economy. The bank's relevant market presence in the Jamaican banking system, adequate performance in a challenging environment, and consistent improvements in its operating performance support the ratings. NCB maintains a large exposure to Jamaica's government, represented by investments in government bonds. In addition, a significant portion of the loan portfolio is concentrated in public-sector companies, in which the government is the
