Historical rating actions
July 26, 2021
Fitch revised the outlook on Swedbank’s Long-Term Issuer Default Rating (IDR) to positive from stable, while also affirming the Long-Term IDR at 'A+', the Viability Rating at 'a+' and Short-Term IDR at 'F1'. The outlook revision reflects Swedbank's progress in addressing anti-money laundering (AML) control deficiencies in its Baltic operations. Swedbank has already addressed shortcomings identified by the Estonian and Swedish regulators, strengthened its Baltic subsidiary's governance and the execution of its comprehensive AML remediation plan is well advanced. Swedbank's ratings reflect the remaining shortcomings in AML risk controls, balanced by a conservative risk appetite and strong asset quality, capitalisation and profitability.
April 3, 2020
Fitch has downgraded Swedbank's Long-Term Issuer Default Rating to A+ and the Viability Rating to a+ driven by the confirmation of deficiencies in anti-money laundering controls. The outlook is set to stable reflecting expectations that the bank will progressively strengthen its controls to effectively combat and prevent money laundering and that Swedbank enters the economic downturn from the coronavirus outbreak from a relative position of strength at its rating level.
April 2, 2020
Moody’s downgrades Swedbank's long-term rating to Aa3 following the conclusions from the investigations into anti-money laundering that showed deficiencies in Swedbank’s management of money laundering risks. The outlook is set to stable, reflecting the view that additional financial penalties arising from the continued investigations are unlikely to materially impact the bank’s creditworthiness.
September 27, 2019
S&P removes Swedbank’s ratings from Credit Watch with negative implications, while affirming its 'AA-/A-1+' long-term and short-term ratings. S&P instead places the bank on negative outlook, which reflects the possibility of a lowering of the ratings over the next 6-12 months if the investigations negatively affect S&P’s view of Swedbank's risk control, governance, or franchise; or weaken its financial risk profile.
April 2, 2019
Fitch places Swedbank on rating watch negative. The rating watch on Swedbank reflects Fitch's view that the ongoing allegations of its potential involvement in money laundering through its Baltic operations, and specifically Estonia, have revealed weakness in the bank's management, which could ultimately affect its franchise.
April 2, 2019
Moody's affirms all ratings of Swedbank AB and changes outlook to negative from stable. The rating action follows the sequence of events around alleged money laundering, and governance issues that resulted in the Swedish Economic Crime Authority undertaking preliminary investigations, including whether the bank had misled the public and markets regarding money laundering. The sequence of events also led to the departure of its previous President and CEO.
April 1, 2019
S&P places Swedbank AB Ratings on watch negative due to implications of authorities' investigations into alleged money laundering. The bank is undertaking management changes following the Board of Directors dismissing the CEO. S&P intends to resolve the creditwatch within three months.
September 27, 2018
Moody's affirmed Swedbank’s long-term deposit and senior unsecured debt ratings, while downgrading the high-trigger Additional Tier 1 (AT1) rating following the Swedish FSA's decision to move the risk-weight floor for Swedish mortgages from Pillar II to Pillar I.
April 20, 2018
Moody's Investors Service upgraded the long-term deposit and senior unsecured debt ratings of Swedbank to Aa2 from Aa3. Moody's also placed the high trigger AT1 ratings of Swedbank AB on review for downgrade as there will be negative pressure on these if the Swedish FSA adopts the current proposal to move the risk-weight floor for mortgages from Pillar II to Pillar I.
November 24, 2017
S&P affirmed the rating at AA- and revised the outlook to stable, from negative. The stable outlook reflects S&Ps view that Swedbank will maintain resilient earnings and capital as Sweden's economy benefits from improvements in Europe's economic environment and the domestic housing market adjusts to higher volumes and stricter amortisation requirements. S&P also anticipates that Swedbank will build considerable ALAC buffers in the coming years as the bank fulfils its MREL requirement.
May 26, 2016
Fitch upgraded Swedbank's ratings to AA- and F1+ with a stable outlook. The upgrade reflects Swedbank's strong execution of its low-risk strategy since 2009, and Fitch's
expectation that this strategy will continue under the new management team. The rating also reflect Swedbank's strong retail franchise, solid asset quality, and strong capitalisation.
February 17, 2016
S&P affirmed Swedbank's ratings to AA- and A-1+ following the departure of the CEOs; the outlook remains negative. S&P sees no immediate risks to Swedbank's earnings or strong business position.
December 2, 2015
S&P upgraded Swedbank's ratings to AA- and A-1+ which reflects S&P's view of Sweden's ongoing support to the systemically important banks. As a consequence, S&P has removed the negative adjustment notch in place since the raised standalone rating in June, which reflected an expected negative transition due to the potential removal of government support.
The outlook of the rating was changed to negative, reflecting S&Ps view of heightened economic risk for Swedish banks due to the current trend in house prices and household debt.
June 25, 2015
S&P raised Swedbank's standalone rating to a+ and affirmed the final rating at A+. The outlook was changed to stable, from negative. The main drivers are a stable management, strong key ratios in efficiency, and earnings stability.
June 17, 2015
Moody’s upgraded Swedbank to Aa3. The upgrade reflects Moody’s estimation that Swedbank’s strong asset quality and stable earnings generation, underpinned by focused management and established franchise in Sweden and the Baltic countries, position the bank well to manage challenges coming from the low interest-rate environment, developments in mobile banking, and competition in historically more profitable activities.
June 09, 2015
Fitch affirmed the rating, with a positive outlook. Fitch restated they expect to upgrade the rating to AA- provided Swedbank continues to build on the current track record.
June 24, 2014
Fitch revised its outlook for Swedbank from 'stable' to 'positive'. The change is a direct action due to Swedbank's strong asset quality, stable earnings and strong capitalisation.
May 29, 2014
Moody's revised the outlook for Swedbank, Swedbank Mortgage, together with a large number of European banks to negative, also as a part of the implementation of BRRD - and that this will lead to lower government support going forward.
April 29, 2014
S&P announced that they are increasing the assessment of our 'capital and earnings position' to 'strong' from 'adequate'. This will increase our standalone rating (SACP) to 'a' from 'a-'. Due to a technicality in S&P's rating methodology, the support will simultaneously fall to +1 from +2 and therefore there is no rating effect at this time. Yet, at the same time S&P is changing the rating outlook to negative, from stable. This is driven by an assumption that, as a consequence of the implementation of BRRD, government support will diminish for all European banks going forward. This assessment is part of a European-wide review of S&P’s support assumptions. This review should be finalised at the latest at year-end 2015.
July 19, 2013
S&P revised its outlook on Swedbank AB to stable from negative, a reflection of the assessment of Swedbank's increased ability to manage higher economic risks in Sweden. S&P highlights Swedbank's strong capital and earnings, which are expected to keep improving over the next two years. At the same time, Swedbank AB's and Swedbank Mortgage AB's A+ long-term and A-1 short-term counterparty credit ratings were affirmed.
June 4, 2013
Moody's Investors Service upgraded Swedbank AB's long-term debt and deposit and issuer rating to A1 from A2. The outlook is stable. According to Moody’s, the upgrade is motivated by Swedbank’s strengthened risk profile, a result of 1) sustainable reduction of its risk profile and strengthening of the bank’s corporate governance; 2) the continued reduction of problem loans and stabilisation of revenues; and 3) enhanced capital levels and improved funding profile.
November 26, 2012
Moody's changed the outlook for Sweden's banking system to stable from negative. The stable outlook primarily reflects Moody's expectations that over the next 18-24 months asset quality will be strong overall, strengthening capital levels will provide a good buffer against modest asset-quality deterioration and continued moderate lending growth, and low provisioning levels will continue to support profitability.
November 20, 2012
S&P put all major Swedish banks' on negative outlook due to view of weakening economy with signs of the economy slowing more sharply than expected. In addition S&P observes structural imbalances and significantly weakened automatic stabilisers, leading S&P to conclude that economic risks for the banking sector are increasing.
July 25, 2012
Fitch Ratings upgraded Swedbank AB’s Long-term Issuer Default Rating (IDR) to 'A+' from 'A' and its Viability Rating to 'a+' from 'a'. The outlook for the Long-term IDR is stable. At the same time, Fitch affirmed the Short-Term IDR at 'F1'. The rationale for the upgrade reflects in Fitch’s view Swedbank's improved ability to absorb moderate shocks. This is driven by the bank’s strengthened capitalisation, liquidity and funding position, along with a reduced risk profile resulting from strong risk management implemented by the new management with a focus on risk-returns rather than volume growth. The ratings incorporate Fitch’s expectations of some further impairments as Swedbank exits the Russian and Ukrainian retail markets. Fitch highlights Swedbank's ability to absorb moderate shocks which is supported by its resilient revenue generation and normalising loan impairment charges since 2011, and expects that Swedbank will maintain a solid level of profitability in 2012 and 2013.
June 28, 2012
S&P confirmed Swedbank's and Swedbank Mortgage's long- and short-term rating with stable outlook. Following a full annual rating analysis, the rating for Swedbank and Swedbank Mortgage was unchanged. Also Swedbank's standalone rating was confirmed (a-) with stable outlook. Standard & Poor's bases the ratings on Swedbank on the 'a-' anchor. In S&P's view, it has an "adequate" business position, given its market-leading retail position and prudent management and strategy. S&P assesses its capital and earnings as "adequate," given the existing ratios and projected capital generation, which S&P expects will lead to a risk-adjusted capital (RAC) ratio before diversification of around 9.5% in 18-24 months. Its "adequate" risk position is based on the bank's representative risk profile in each of its four primary banking markets. It has "average" funding given the strength of the Swedish covered bond market and diverse funding sources and "adequate" liquidity, resulting from demonstrated and sustainable capital market access and prudent liquidity buffers.
May 24, 2012
On May 24, Moody's confirmed Swedbank and Swedbank Mortgage's long- and short-term rating with stable outlook. Following the rating review for European banks, Moody's published its results for the Swedish banks, resulting in unchanged rating for Swedbank and Swedbank Mortgage's long- and short-term rating. Also Swedbank's standalone rating was confirmed (C-) with stable outlook. The unchanged rating reflects, according to Moody's; "the substantial and continuing improvements in the bank's financial fundamentals, particularly liquidity metrics which improved due to lengthened funding maturities and increased liquidity reserves". The rating for dated subordinated debt (Lower Tier 2) was downgraded three notches from A3 to Baa3 and the rating for junior, undated, subordinated debt (upper Tier 2) was downgraded one notch from Baa3 to Ba1.
February 15, 2012
On February 15, Moody's placed 114 financial institutions on rating review for possible downgrade. In connection to the rating action, the long-term A2 rating and short-term Prime-1 rating of Swedbank AB and Swedbank Mortgage AB respectively, were also placed on rating review. The actions reflect the potential negative impact on the Swedish economy from worsened growth prospects in the euro area and that Swedish banks are not immune to the difficulties facing the global financial markets. Moody's states that, as a consequence, they may reduce their assessment on a number of rating factors such as economic stability, franchise value, risk positioning, liquidity, profitability and capital. The review period for the Swedish banks is expected to be ended during the week of May 7, 2012.
December 1, 2011
S&P upgraded Swedbank’s long-term ratings to A+ from A, affirmed the A-1 short-term rating, raised the non-deferrable subordinated debt rating A from A- and affirmed the junior subordinated debt rating on Swedbank at bbb-. The standalone credit profile (SACP) of Swedbank is a- and the outlook is stable. The upgrade reflects S&P’s view of Swedbank’s position as market leader in retail mortgages and deposits as well as mutual funds. The components of business-, capital and earnings-, risk- and funding and liquidity position are all considered well-balanced. The stable outlook is based on continued stability on these factors, noting Swedbank’s prudent risk appetite and strong capitalisation.
September 16, 2011
Fitch Ratings affirmed Swedbank AB's Long-term Issuer Default Rating (IDR) at 'A', its Viability Rating at 'a' and affirmed the Short-term IDR at 'F1'. The outlook for the Long-term IDR is stable.
The affirmation reflects Swedbank's improving financial position, solid capitalisation and strong asset quality in its Swedish portfolio. It also factors in its significant, but stabilising, stock of non-performing loans (NPLs) in its Baltic, Russian and Ukrainian businesses, as well as its reliance on wholesale funding.
June 8, 2011
Moody’s upgraded Swedbank’s standalone bank financial strength rating one notch to C-mapping to a BCA standalone rating of Baa2 and raised the junior subordinated debt and Tier 1 hybrid securities one notch to Baa3 and Ba2 respectively with a positive outlook. The A2 long-term debt and deposit rating and A3 subordinated debt rating were affirmed with stable outlook. The upgrade reflects Moody’s view of the stabilisation of asset quality in the Baltic operations and Swedbank's improving financial strength and good capital and liquidity metrics. Moody’s sees an upside pressure on Swedbank's Baa2 standalone credit rating.
March 2, 2011
Standard & Poor's upgraded Swedbank’s standalone credit profile one notch to a- and raised the rating on the bank's hybrid capital instruments by two notches to BBB-. The A long-term and A-1 short-term ratings were affirmed. The upgrade reflects S&P’s view of Swedbank’s improved funding profile, reduced credit risks, the favourable performance of the mortgage portfolio compared to its Swedish peers and improved macroeconomic situation in Swedbank’s primary markets.
November 16, 2010
Moody's placed Swedbank AB's and Swedbank Mortgage AB's all ratings on review for possible upgrade.