Nordic Credit Rating (NCR) has affirmed its 'BBB-' long-term issuer rating on Sweden-based Resurs Bank AB (publ). The outlook is stable. The 'N3' short-term issuer rating, the 'BBB-' senior unsecured issue rating and the 'BB' Tier 2 issue rating have also been affirmed, in accordance with NCR's revised financial institutions rating methodology. The ratings are no longer under criteria review.
Rating rationale
NCR has reviewed its long-term and short-term issuer ratings, issue ratings, and outlook on Resurs Bank following the revision of its methodology for assigning ratings to financial institutions (see Related publications). We consider that our amendments to the methodology have not had a material impact on our view of the bank's creditworthiness, and that there have not been significant changes in its overall risk profile. Consequently, we have affirmed our ratings and maintained the stable outlook on the ratings on Resurs Bank.
Stable outlook
The stable outlook reflects our view that Resurs Bank has embarked on a course of strategic investments that will have a negative impact on its costs over the next few years. It also reflects our expectation that asset quality metrics will continue to improve, but at a slower pace than we previously believed. In addition, we believe that loan losses will stabilise at a higher level than previously. We expect weak, though positive, capital generation before dividend payouts. The outlook also reflects the weak, but improving, economic outlook for the Nordic countries.
We could raise the rating to reflect a sustainable improvement in asset quality metrics to pre-2023 levels, in terms of loan losses and net Stage 2 and 3 loans, an improved operating environment for consumer lenders in the Nordic countries, or a strengthened competitive position in terms of market position and business diversity.
We could lower the rating to reflect a worsening operating environment caused by a deep economic downturn or regulatory changes, or a further deterioration of asset quality metrics and earnings that severely impacts capital generation.
Related publications
i) Resurs Bank long-term issuer rating lowered to 'BBB-'; Outlook stable, 13 Mar. 2025.
ii) Nordic Credit Rating publishes amended Financial Institutions Rating Methodology, 12 May 2025.
| Rating list | To | From |
|---|---|---|
| Long-term issuer credit rating: | BBB- | BBB- |
| Outlook: | Stable | Stable |
| Short-term issuer credit rating: | N3 | N3 |
| Senior unsecured issue rating: | BBB- | BBB- |
| Tier 2 issue rating: | BB | BB |
Contacts:
Ylva Forsberg, analyst, +46768806742, ylva.forsberg@nordiccreditrating.com
Sean Cotten, chief rating officer, +46735600337, sean.cotten@nordiccreditrating.com
Geir Kristiansen, analyst, +4790784593, geir.kristiansen@nordiccreditrating.com
The methodology documents used for this rating are NCR's Financial Institutions Rating Methodology published on 12 May 2025, NCR's Rating Principles published on 14 Feb. 2024 and NCR's Group and Government Support Rating Methodology published on 14 Feb. 2024. For the full regulatory disclaimer please see the rating report.