S&P rates Kexim bonds A

Standard & Poor's said it assigned an A rating to Export-Import Bank of Korea's (Kexim) shelf drawdown of proposed benchmark global dollar-denominated senior unsecured bonds.

The ratings are equalized with the long-term credit rating on the government of Korea, reflecting an opinion that there is an almost certain likelihood that the Korean government would provide timely and sufficient extraordinary support in the event of financial distress, S&P said.

The bank plays a critical role as a legally mandated public financial institution and the ratings consider its integral link with the Korean government as its sole owner, the agency said.

The Korean government also has a legal obligation to maintain the bank's solvency, S&P added.

The ratings also take into account the bank's low profitability, the agency said.

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