Moody's rates ICBC Macau D+, A3

Moody's Investors Service said it assigned to Industrial & Commercial Bank of China (Macau) Ltd. a bank financial strength rating of D+, long-term local- and foreign-currency deposit ratings of A3 and short-term local- and foreign-currency deposit ratings of prime-2 and long-term and short-term local- and foreign-currency ratings to the bank's $800 million certificates of deposit program of A3/prime-2.

The outlook is stable.

The bank is a majority-owned subsidiary of Industrial & Commercial Bank of China (ICBC).

The ratings are supported by its strong franchise in Macao, where it is the second largest bank in terms of deposits and loans, its ability to leverage the parent's extensive network and large customer base, its good level of efficiency and its sound asset quality, Moody's said.

These strengths are offset by the bank's limited track record under current management and ownership, weakening liquidity and some strain on capital because of rapid loan growth and high borrower concentration relative to capital, the agency said.

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