Update: Banco de Credito del Peru

The negative outlook on BCP reflects the outlook on Peru. We could lower the sovereign ratings if prolonged political impasse or further adverse developments reduce the predictability of policymaking or worsen institutional stability, auguring badly for economic policy outcomes. On the other hand, if higher risks materialize that damage the operating conditions for banks in Peru--indicated by a downward revision of the Banking Industry Country Risk Assessment (BICRA) economic risk score--it could hurt the bank's capitalization and intrinsic credit fundamentals, but not the ratings, which we cap by the rating on Peru. We expect that the ratings on the bank will move in tandem with those on the sovereign in the next 12-24 months because of BCP's high exposure to

...Our rating on Banco de CrTdito del Peru (BCP) reflects its good intrinsic creditworthiness, with a '###+' (SACP). However, our ratings on Peru limit those on domestic financial institutions, including BCP, because we do not consider that the entities could withstand a sovereign default scenario, given their large exposure to the country in the form of loans and securities. Due to BCP's leading position in Peru's financial system, it has robust business stability. S&P Global Ratings' view of the bank's business position reflects BCP's leading position across lending segments, well-recognized franchise, its large scale, and its diversified business with operations in retail and wholesale banking and treasury activities. As of September 2023, BCP was the country's largest bank in terms of loans and deposits with a market share close to a third. We expect BCP's business model to continue providing sound stability and to remain a rating strength....

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