Which banks will weather the storm?
Euromoney Limited, Registered in England & Wales, Company number 15236090
4 Bouverie Street, London, EC4Y 8AX
Copyright © Euromoney Limited 2024
Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Which banks will weather the storm?

With markets in turmoil and attention switching from returns to credit quality, new ways for assessing counterparties are needed. Our second emerging-market bank (Emba) ratings bring a temperature-taking approach to credit. While rating agencies pore over accounts and spend hours interviewing managers, we use the raw financial ratios that drive much of the ratings process. The results are always provocative. This year Emba highlights island paradises in the Caribbean and the Mediterranean where economies and banks have stayed clear of the fallout from global markets. Those seeking banking peace and pina coladas should read on. Brian Caplen reports.

The Euromoney guide to emerging-market banks


When staff at a Brazilian bank switch on their computers in the morning, their screens are filled with a panoramic view of a tropical beach. A prompt in one corner asks: "Where would you rather be?" After fighting their way through São Paulo's notoriously bad traffic to face the tough banking day ahead, the answer would seem self-evident. It's meant to be. The unwritten message is: work hard, make money and you could soon be a wealthy retiree living in paradise.

No doubt bankers everywhere harbour such dreams. Some, however, may be able to speed up their emigration by landing jobs with fast-growing banks in places such as Trinidad and Tobago and the Dominican Republic in the Caribbean or in Malta in the Mediterranean.

While volatility is rocking major emerging markets such as Brazil, Indonesia and Russia, the latest Euromoney emerging market bank (Emba) bank ratings gives surprisingly high scores to banks in these smaller countries.

The image of the Caribbean as a place to launder drug money while the regulators look the other way is challenged. The reality in some of the islands is different.

Gift this article