Moody's rates Israel Discount notes A2

Moody's Investors Service said it assigned an A2 long-term foreign-currency rating to Israel Discount Bank Ltd.'s planned issuance of dollar-denominated senior unsecured notes.

“The proposed notes will constitute IDB's direct, unsecured and unsubordinated obligations and the A2 long-term senior unsecured rating assigned to them reflects IDB's baa2 baseline credit assessment (BCA) and three notches of rating uplift based on Moody's assessment of a very high probability of support from the government of Israel (A1 positive). This assessment is based on IDB's systemic importance as one of the country's five largest banking groups and the Israeli government's long-standing practice of injecting capital into systemically important banks in case of need,” the agency said in a press release.

The outlook is stable.

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