CREDIT OPINION - Council of Europe Development Bank – Aaa stable

It also reflects the bank's very strong liquidity and funding profile as well as our expectation that the level of shareholder support will remain strong in the wake of the capital increase agreed at the end of 2022, with member states continuing to subscribe by the end of 2024 in line with their national ratification processes. [...] In particular, the approval in December 2022 of a very substantial increase of CEB's paid-in and callable capital by the bank's Governing Board is testament to shareholding member states’ very strong support for CEB as well as the bank’s enhanced relevance in tackling key social challenges stemming from the conflict in Ukraine as well as in Europe more broadly. [...] However, contingent on the course of the war in Ukraine and conditions in the country, the roll-out may be slower than expected and not reach the planned total amount in lending by 2027. [...] MOODY’S credit rating is an opinion as to the creditworthiness of a debt obligation of the issuer, not on the equity securities of the issuer or any form of security that is available to retail investors. [...] JAPAN: In Japan, development and provision of SPOs fall under the category of “Ancillary Businesses”, not “Credit Rating Business”, and are not subject to the regulations applicable to “Credit Rating Business” under the Financial Instruments and Exchange Act of Japan and its relevant regulation.