- Defence Bank retains BBB+/Stable/A-2 rating from S&P.
- S&P notes decision backed by “very strong” capital and earnings.
- S&P expects continued “above system” loan growth and sound asset quality.
- Regulatory capital is well above minimal requirements.
Defence Bank’s performance and prospects for continued “above system” growth was endorsed today by ratings agency S&P, with retention of a BBB+/Stable/A-2 rating for the bank.
S&P acknowledged the “sound” asset quality and “very strong” capital and earnings which underpinned the decision.
Defence Bank’s relationship with the ADF was positively acknowledged, including the bank’s successful participation in the Defence Home Ownership Assistance Scheme, which was seen by S&P as a key driver for ongoing growth.
S&P also noted regulatory capital remains well above minimum requirements, with continued stability predicted through the enduring relationships Defence Bank has created with the ADF community.
Defence Bank Chief Executive Officer Roberto Scenna welcomed S&P’s positive assessment of the bank’s performance and trajectory.
“We know we are on the right path for continued growth backed by strong fundamentals.
“I am pleased that S&P has recognised our treasured relationship with members of the ADF which we hope to develop and grow even further in the next few years.
“As Defence Bank celebrates our 50th year of serving the ADF community, endorsement like this from S&P are welcome news for our team.
“It really encourages us to redouble our commitment to recognise and respond to the unique lives of members of the ADF, veterans and their families, and the wider Defence community.
“We have recently achieved record lending growth which backs up S&P’s assessment that we are not only performing but growing, and well equipped to continue to serve those who protect us.
“We welcome external endorsement such as S&P’s assessment, which will help guide our purpose driven approach for our members.”
