Fitch Ratings has maintained the long-term issuer default ratings (IDRs) of Mizuho Financial Group (TYO:8411) at A- and the group's core banks, Mizuho Bank and Mizuho Trust & Banking at A, with stable outlook, according to a Wednesday release.
Fitch affirmed the financial group's short-term issuer default ratings at F1, viability ratings (VR) at a-, and government support ratings (GSR) at a-, it said.
The company's long-term IDRs, which are at the same level as the group VR and GSR of "a-", stem from a large resolution debt buffer, the release said.
Fitch believes this buffer will remain at 10% to 15% of the group's risk-weighted assets, it said.
The credit rating agency believes the firm's diversified and high-quality loan portfolio will manage its risks, while asset quality is expected to remain stable with a non-performing loan/total loan ratio of around 1% through the financial year ending March 2028.
Shares of Mizuho Financial Group fell over 3% at market close.
Comments