Icelandic banks receive improved credit rating

International credit rating agency S&P Global Rat­ings has in the past few days raised the credit rating of all three of Iceland’s major banks.

Íslandsbanki goes from BBB/A-2 to BBB-/A-3 with a positive outlook. Arion Bank has been raised from BBB- to BBB and Landsbankinn from BBB-/​A-3 to BBB/​A-2, both with a positive outlook.

A statement from Arion Bank indicates that these improvements “reflect the healthy state of the Icelandic economy, lower household and corporate debt, and the positive effect of further relaxing of capital controls”.