Strong market position in Mongolia's banking industry. Loyal corporate depositor base. Concentrated exposure to the construction, trading, and mining sectors. Thin capital buffers to withstand unexpected economic shocks. The stable outlook on Trade and Development Bank of Mongolia LLC (TDB) reflects our view that the bank is likely to maintain its solid market position in Mongolia and current capitalization over the next 12-18 months. It also reflects the outlook on the sovereign credit rating on Mongolia. We could lower the ratings on TDB if the bank's capitalization weakens such that the risk-adjusted capital (RAC) ratio sustainably falls below 2%. We could also downgrade TDB if we lower the sovereign credit rating on Mongolia because the rating on the bank is
