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       T R O U B L E D   C O M P A N Y   R E P O R T E R

                 L A T I N   A M E R I C A

          Wednesday, July 7, 2021, Vol. 22, No. 129

                           Headlines



A R G E N T I N A

CHACO: Fitch Raises LongTerm Currency IDRs to 'CC'
COMPANIA LATINOAMERICANA: S&P Lowers ICR to 'CCC-', Outlook Neg.
MASTELLONE HERMANOS: Fitch Hikes Foreign Currency IDR to 'B-'


B A H A M A S

SANDALS ROYAL: Postpones Opening to January Next Year


B R A Z I L

BANCO CETELEM: Moody's Lowers LongTerm Deposit Ratings to Ba2
BRAZIL: Sugar Output Revised Downward as Dry Weather Persists
BTG PACTUAL: Fitch Affirms 'BB-' LongTerm IDRs, Outlook Negative
USINA CORURIPE: Moody's Withdraws Caa1 Corporate Family Rating
XP INC: Fitch Affirms 'BB-' LongTerm IDRs, Outlook Negative



C A Y M A N   I S L A N D S

BTG PACTUAL CAYMAN: Fitch Gives BB-(EXP) on $500MM Unsec. Notes
BTG PACTUAL CAYMAN: Moody's Rates New 2025 Sr. Unsec. Notes 'Ba2'


C O L O M B I A

COLOMBIA: Fitch Lowers LT IDRs to 'BB+' & Alters Outlook to Stable


D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Maintains Surveillance on Swine Diseases
DOMINICAN REPUBLIC: Remittances is Country's Weapon Against Poverty


E C U A D O R

BANCO PICHINCHA 5: Fitch Gives Final 'B-' Rating on 4 Tranches


H A I T I

[*] HAITI: FATF Puts Country on Money Laundering Watch List


P E R U

TERMINALES PORTUARIOS: S&P Alters Outlook on 'BB+' Rating to Pos.


P U E R T O   R I C O

J.J.W. METAL: Taps Intelligence & Investigations as Consultant

                           - - - - -


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A R G E N T I N A
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CHACO: Fitch Raises LongTerm Currency IDRs to 'CC'
--------------------------------------------------
Fitch Ratings has upgraded the Province of Chaco's (the Province)
Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs)
to 'CC' from 'RD'. Additionally, Fitch raised Chaco's Standalone
Credit Profile (SCP) to 'cc' from 'rd'. Fitch relied on its rating
definitions to position the Province's ratings and SCP. As a result
of the Province´s recent conclusion of its restructuring process,
Fitch has upgraded to 'CC' from 'D' the Province's original amount
of USD250 million senior unsecured notes with a new due date of
2028 and a current outstanding of USD262.68 million. This bond is
rated at the level of Chaco's IDRs.

KEY RATING DRIVERS

The Province of Chaco completed its DDE on June 25, 2021. The
Province received and accepted a total of USD233.3 million of its
USD250 million 9.375% senior unsecured notes due 2024 or 93.34% of
acceptance, above the threshold set in the collective action
clauses (CACs). The Province will pay USD19,023,437.54 in cash
(subject to the deduction of transaction expenses) and issue
USD12,682,262 principal amount of additional Notes, as consent
consideration, to Eligible Holders whose consents have been
accepted by the Province.

The rating actions reflect Chaco's recent external debt
restructuring process, continued refinancing risk, exposure to
Argentina's challenging macro and public finance environment, sharp
fiscal challenges that have deteriorated its operating margin, and
weak liquidity metrics.

The debt restructuring provides some external debt service relief
for the Province until YE 2024. However, despite this relief, the
'CC' Long-Term Foreign and Local Currency IDR reflect deep
liquidity and tight budgetary flexibility, driven by fiscal
challenges at the national and local level that continue to hinder
its budgetary capacity, including an economic downturn greatly
exacerbated by the coronavirus pandemic and reduced external market
participation, which has kept refinancing risks at high levels.
Additionally, the ratings reflect the Province's tight liquidity
and debt service coverage ratios (below 1.0x), which are expected
to continue over the next three years in Fitch's rating case.

Like some provinces, Chaco is responsible for covering shortfalls
in funding for its provincial public pension system in the event of
a structural deficit, an important expenditure risk also reflected
in the rating. Even though the Province's operating balance
improved during YE 2020, due to a real-term operating expenditure
containment amidst fiscal uncertainty, Fitch estimates that Chaco's
operating balance will average around 5.3% of its operating
revenues during 2021-2023; and no provincial pension reform is in
sight.

The main amendments to the notes included an extension to the notes
maturity (from August 2024 to February 2028), a modification of the
amortization profile to nine capital installments from three
(smooth out principal repayments throughout the life of the amended
notes, with payments in February and August), and easing of the
interest rate conditions (step-up at 3.5% in 2021, 4.75% in 2022,
6.5% in 2023 and 8.25% thereafter).

Risk Profile: 'Vulnerable'

The 'Vulnerable' risk profile assessment reflects a very high risk
relative to international peers that the issuer's ability to cover
debt service with the operating balance may weaken unexpectedly
over the forecast horizon (2021-2023) either because of
lower-than-expected revenue or expenditure above expectations, or
because of an unanticipated rise in liabilities or debt-service
requirement

Chaco's Vulnerable Risk Profile reflects a 'Weaker' evaluation on
the six key risk factors (KRFs), considering the country's
structural weaknesses, in which Argentine local and regional
governments (LRGs) operate. Argentine LRGs operate in a context of
a weak institutional revenue framework and sustainability, high
expenditure structures, and tight liquidity and FX debt risks,
further worsened by macroeconomic recession, high inflation, sharp
currency depreciation and market uncertainty. The risk profile for
Argentine LRGs is assessed as 'Vulnerable', meaning there is a very
high risk of operating cash flow not covering debt repayment coming
due.

Debt Sustainability: 'b' category

Fitch classifies Province of Chaco as a type B LRG, as it covers
debt service from cash flow on an annual basis.

Under Fitch's rating case scenario (2021-2023) the primary metric
of payback burden (net adjusted debt to operating balance) will be
higher than 25x with a score of 'b', reflecting the Province's weak
operating balances. The actual debt service coverage ratio
(operating balance-to-debt service, ADSCR) will continue to be
below 1.0x; pointing to a 'b' score, resulting in a final 'b' debt
sustainability assessment.

The Province of Chaco is located in the northeast region of
Argentina and has improving socioeconomic indicators. With an
estimated population of around 1.3 million, less than 3% of
Argentina's population, GDP/capita is around USD3,553, below the
national average of USD11,522. Regional economy is influenced by
the service sector, which employs 85,000 people and is the main
employer. Soybeans are the most important commodity, followed by
sunflower seeds, despite a historical prevalence of cotton
production from public policies, especially through guaranteed
loans with reduced rates to producers.

ESG - Governance: Chaco has an ESG Relevance Score of '5' for
Creditor Rights. The Province's recent DDE and breach of a formal
agreement, which impeded the payment of debt service to
bondholders, and Fitch's view that access to the external market
will remain curtail weigh on the Province's ability to repay its
debt obligations. This expectation has resulted in an implicitly
lower rating assignment as creditor rights remains a key rating
driver.

ESG - Governance: Chaco has an ESG Relevance Score of '4' for Rule
of Law, Institutional and Regulatory Quality and Control of
Corruption reflecting the negative impact the weak regulatory
framework and national policies of the sovereign have over the
Province's rating in conjunction with other factors.

DERIVATION SUMMARY

Chaco has a Vulnerable Risk Profile and a 'b' debt sustainability
score. However, Fitch has relied on its rating definitions to
position the Province's ratings and its SCP.

KEY ASSUMPTIONS

Fitch's rating case scenario is a "through-the-cycle" scenario,
which incorporates a combination of revenue, cost and financial
risk stresses. It is based on 2016-2020 figures and 2021-2023
projected ratios. The key assumptions for Fitch's rating case
scenario include:

-- 42.6% yoy increase in operating revenue, in 2021; then an
    average increase of 44.7% for 2022-2023;

-- 51.6% yoy increase in operating expenditure in 2021; then an
    average increase of 54.8% from 2022-2023;

-- Average net capital balance of around minus ARS8.1 billion for
    2021-2023;

-- Cost and stock of debt considers non-cash debt movements due
    to currency depreciation with an annual average exchange rate
    of ARS102.4 per USD for 2021, ARS149.4 for 2022, and ARS211.1
    for 2023.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- An improved operating balance that strengthens the ADSCR above
    1.0x on a sustained basis, fueled by better economic prospects
    along with a containment in the operating expenditure front;

-- A structural improvement in cash flow generation over the
    rating case horizon that mitigates refinancing risks.

Factor that could, individually or collectively, lead to negative
rating action/downgrade:

-- Signs of deeper liquidity stress that could compromise debt
    repayment capacity in the coming years, including evidence of
    increased refinancing risk in its local and foreign currency
    debt.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Sovereigns, Public Finance
and Infrastructure issuers have a best-case rating upgrade scenario
(defined as the 99th percentile of rating transitions, measured in
a positive direction) of three notches over a three-year rating
horizon; and a worst-case rating downgrade scenario (defined as the
99th percentile of rating transitions, measured in a negative
direction) of three notches over three years. The complete span of
best- and worst-case scenario credit ratings for all rating
categories ranges from 'AAA' to 'D'. Best- and worst-case scenario
credit ratings are based on historical performance.

ESG CONSIDERATIONS

Chaco, Province of has an ESG Relevance Score of '5' for Creditor
Rights due to {DESCRIPTION OF ISSUE/RATIONALE}, which has a
negative impact on the credit profile, and is highly relevant to
the rating, resulting in {an implicitly lower/higher rating or
outlook/watch or cite specific change(s) to the
rating/outlook/watch: stable from positive, stable from negative,
one notch downgrade, etc.

Chaco, Province of has an ESG Relevance Score of '4' for Rule of
Law, Institutional & Regulatory Quality, Control of Corruption due
to {DESCRIPTION OF ISSUE/RATIONALE}, which has a negative impact on
the credit profile, and is relevant to the rating[s] in conjunction
with other factors.

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.


COMPANIA LATINOAMERICANA: S&P Lowers ICR to 'CCC-', Outlook Neg.
----------------------------------------------------------------
S&P Global Ratings, on July 1, 2021, lowered its issuer credit and
issue-level ratings on Compania Latinoamericana de Infraestructura
y Servicios S.A. (CLISA) to 'CCC-' from 'CCC'.

The outlook remains negative, reflecting CLISA's heavy dependence
on variables that are out of its control, such as the upturn in the
construction segment, to reduce current liquidity pressures
The global coronavirus outbreak continued hitting Argentina's
economy, causing a significant deterioration of macroeconomic
variables, including a sharp drop in GDP, which to some extent,
caused a decline in government investment in public works due to
budget constraints and the halt of several projects. Under this
scenario, domestic construction activity sharply decreased. The
Argentine backlog, which historically accounted for more than 50%
of the company's total backlog in the company's construction
segment, shrank to about ARP3.8 billion in 2020 from ARP10.3
billion at the end of 2019, but it recovered to ARP31.4 billion as
of March 31, 2021. S&P believes CLISA's businesses and cash
generation will remain pressured for some time, even assuming the
gradual resumption of previously suspended projects.

S&P said, "We used to view the company's diversified revenue
structure as a key strength, given that more than 70% of cash flows
come from business units that we believed were more resilient to
the pandemic. However, Argentina's severe recession not only
hobbled the construction segment, but also reduced cash flows
across other segments due to a slowdown in operations, delays in
payments, and costs associated with mitigating the effect of the
pandemic.

"We currently forecast the company's EBITDA close to ARP9 billion
this year, compared with interest expenses of about ARP6 billion
and working capital expenditures totaling ARP3 billion. This would
result in severe liquidity strains, in our view, even assuming that
the company rolls over its bank debt maturities."


MASTELLONE HERMANOS: Fitch Hikes Foreign Currency IDR to 'B-'
-------------------------------------------------------------
Fitch Ratings has downgraded Mastellone Hermanos Sociedad
Anonima.'s Long-Term Local and Foreign Currency Issuer Default
Ratings (IDRs) to 'RD' from 'C' following the company's completion
of its bond exchange. The completion of the exchange represents a
restricted default under Fitch's Distressed Debt Exchange (DDE)
criteria as evidenced by the extension of the debt material and
Fitch's view that the proposed debt exchange was to avoid
bankruptcy or insolvency, as Mastellone's cash cushion, free cash
flow (FCF) generation and credit lines were insufficient to cover
the USD200 million maturity in July 2021.

Subsequently, the agency has upgraded Mastellone's FC IDR to 'B-'
and its LC IDR to 'B' with a Stable Rating Outlook and assigned a
senior secured debt-class rating of 'B-'/'RR4' to the new notes.
The upgrade of the Long-term local currency IDR reflects a material
improvement in Mastellone's debt maturity profile following the
bond exchange, as well decreased interest expenses. The long-term
foreign currency IDR is constrained by Argentina's 'B-' Country
Ceiling. The new bond is secured by the share pledge on 100% of the
capital stock of Leitesol Industria e Comercio S.A. and a mortgage
over the company's plant V, as well as a first priority interest in
a debt service account.

KEY RATING DRIVERS

Transaction Constitutes DDE: Fitch views the recent debt exchange
transaction as a DDE, as Fitch believes that the transaction was
implemented to avoid a payment default. In line with Fitch's DDE
Criteria, on completion of the transaction Fitch has downgraded the
IDR to 'RD' from 'C' to reflect this default and have concurrently
upgraded the FC IDR and assigned a senior secured notes rating of
'B-' based on the new capital structure, business prospects,
exposure to Argentina and liquidity.

New Capital Structure: The new transactions extend the maturity
date of the company's debt and lowers the coupon rate of its bonds
to 10.95% per year from 12.625%, which will result in annual cost
savings of USD 6million. The new capital structure is comprised of
two local bond issuances for a total amount of USD45 million due in
2023-2024 and a new five-year USD50 million, secured loan. The
USD50 million secured loan (long-term export finance loan) will
amortize over 17 quarterly periods, beginning on June 1, 2022.The
new secured bond will get a first-degree mortgage over all rights
and title of the company's Plant V for the production of powdered
milk and also has a pledge on Leitesol's shares.

Manageable Leverage: Mastellone's debt/EBITDA ratio is expected to
remain steady in 2021 with the debt/EBITDA ratio being around 4x,
while the operating environment in Argentina remains challenging
due to depressed economic conditions. Mastellone's sales increased
by 25% year-on-year in 1Q21 thanks to an increase in net average
prices in ARS as the company increased prices to offset inflation.
Fitch projects Mastellone's EBITDA to be about USD62 million in
2021 as the company continues to offset cost inflation with price
hikes.

Geographic Concentration: Mastellone is concentrated in Argentina
(CCC), where it generates almost all of its sales, causing exposure
to hyperinflation and other direct and indirect sovereign-related
risks, including currency depreciation. In 2020 the company
generated about 9% of sales in Brazil (BB-/Negative) and Paraguay
(BB+/Stable) and 12% from exports.

Exposure to Currency Risk: Currency risk will be high post
restructuring, as a significant portion of Mastellone's debt will
remain U.S. dollar-denominated, as the international bond and bank
debt are in US dollar and sales are mainly in Argentine pesos. The
decline in BCRA reserves to critical levels is a major near-term
policy challenge and has led to stringent currency controls. It is
unclear how the authorities will eliminate these measures given the
adverse macroeconomic consequences associated with various policy
options.

Volatility of Raw Milk Production: The company is exposed to raw
milk production volatility, and a shortage could interrupt the
company's export and foreign businesses or increase production
costs. Mastellone's business is divided among sales to Argentine,
Brazilian and Paraguayan domestic markets and exports, with excess
raw milk supply exported.

Strong Business Position: Mastellone is the largest dairy company
and the leading processor of dairy products in Argentina, operating
as the number one player in the fluid milk market, based on
physical volume, with a market share of approximately 59%. The
company maintains the No. 1 or No. 2 market position in most of its
product lines, and its strong market shares allow Mastellone to
benefit from economies of scale in production, marketing and
distribution. The company purchases about 13% of all raw milk in
Argentina, which provides it with a degree of negotiating power.

Arcor and Bagley Call Option: Fitch sees Mastellone as strategic
for Arcor in the long term. Arcor S.A.I.C. and Bagley Argentina,
S.A., together, own about 49% of Mastellone's shares and Arcor has
a call option for outstanding corporate stock of Mastellone
starting in 2020.

DERIVATION SUMMARY

Mastellone is Argentina's largest dairy company and leading
processor of dairy products, with a market share of 58.7% in fluid
milks. The rating actions reflect the exchange offer that Fitch
views as a distressed debt exchange to avoid payment default and
the new capital structure post-debt exchange. Mastellone has a
weaker position in scale, product diversification, profitability
and geographic diversification compared with international peers
such as Fonterra Co-operative Group Limited (A/Stable), Nestle SA
(A+/Stable), Sigma Alimentos, S.A. de C.V. (BBB/Stable) and Arcor
(B/Stable).

KEY ASSUMPTIONS

Fitch's key assumptions within the rating case for the issuer
include:

-- Mastellone completes implementation of the debt exchange;

-- Revenues grow, driven by domestic high double-digit price
    increases;

-- EBITDA of about USD62 million to USD70 million in 2021;

-- Debt/ EBITDA below 4x (in US dollar) in 2021.

KEY RECOVERY RATING ASSUMPTIONS

The recovery analysis assumes that Mastellone would be reorganized
as a going-concern in bankruptcy rather than liquidated. Fitch has
assumed a 10% administrative claim. Mastellone's GC EBITDA would
reach ARS3.1 billion. This figure factors in 30% decline of the
company's LTM EBITDA of ARS4.5 billion, and takes into
consideration factors such as operational challenges due to
climatic events, changes in raw material costs, sourcing and
logistic issues, potential strikes or a shutdown of exports
markets. Fitch uses a multiple of 5x to estimate a value for
Mastellone because of its strong brands and dominant position in
Argentina's dairy business.

The recovery performed under this scenario resulted in a Recovery
Rating of 'RR2'. Because of Fitch's 'RR4' soft cap for Argentina,
which is outlined in Fitch's criteria, Mastellone's Recovery Rating
has been capped at 'RR4', reflecting average recovery prospects.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- An upgrade of the Argentine sovereign could result in a
    positive rating action for the FC IDR;

-- Increased ownership above 50% by Arcor and Bagley could result
    in positive actions for both the FC and LC IDRs.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- A downgrade of Argentina's country ceiling rating would likely
    lead to a negative rating action on both the FC IDR and LC
    IDR;

-- Debt to EBITDA above 5x on a sustained basis could impact the
    LC IDR.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Adequate Liquidity: Mastellone's liquidity is adequate as the
company does not face high short-term refinancing post the debt
exchange transaction. The debt is comprised of the USD110 million
secured bond due in June 2026, a five-year USD50 million secured
loan amortized over 17 quarterly period beginning June 1, 2022, and
the two local bonds due in 2023-2024.

ISSUER PROFILE

Mastellone is the largest dairy company and the leading processor
of dairy products in Argentina. It is first in the fluid milk
market, based on physical volume. The company maintains the No. 1
or No. 2 market position in most of its product lines.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.




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B A H A M A S
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SANDALS ROYAL: Postpones Opening to January Next Year
-----------------------------------------------------
RJR News reports that Sandals Royal Bahamian resort will not open
in November as previously stated by Sandals Resorts International
(SRI) Executive Chairman Adam Stewart, but instead will open on
January 27 after extensive renovations were impacted by global
supply chain problems and caused a delay.

SRI released a statement revealing the delay, with Mr. Stewart
explaining in the statement that the resort could partially open
before January, according to RJR News.

Mr. Stewart said moving the opening date from November 4 was a very
difficult decision, the report relays.

But he added that, while Sandals could reopen much of the resort,
worldwide demand for commodities and supply chain disruptions are
delaying the hotel chain's ability to complete the project's full
scope, the report discloses.




===========
B R A Z I L
===========

BANCO CETELEM: Moody's Lowers LongTerm Deposit Ratings to Ba2
-------------------------------------------------------------
Moody's Investors Service has downgraded Banco Cetelem S.A.
(Cetelem or Banco Cetelem) long-term global local and foreign
currency deposits to Ba2, from Ba1, and long-term global local and
foreign currency counterparty risk ratings to Ba1, from Baa3.
Moody's also downgraded Cetelem's standalone baseline credit
assessment to b1, from ba3 and its adjusted BCA to ba2, from ba1.
Cetelem's Ba2 long-term deposit rating benefits from two notches of
affiliate support from its parent bank, BNP Paribas, incorporating
Moody's assessment of a high likelihood of affiliate support. The
outlook changed to stable, from negative.

RATINGS RATIONALE

The downgrade on Banco Cetelem's ratings reflects the challenges of
the bank in reporting sustainable earnings generation, considering
the pressure of low and regulated interest rates in payroll-loans
and increasing competition from other players, particularly from
neobanks, on its two main business lines: payroll loans and credit
card. Additionally, Moody's acknowledges that the bank's strategy
of selling payroll loans to third parties adds volatility to
earnings generation, as the recognition of upfront gains as loans
help mitigate profitability pressures only on a temporary basis.

Cetelem's focus on payroll loans exposes the bank to regulatory
risks, as evidenced by the reduction in payroll-lending rates
introduced by the authorities in March 2020 as part of their credit
support measures, which has compressed margins and weights on the
bank's profitability. As of December 2020, Cetelem's net income to
tangible banking assets reached only 0.1%, the lowest level in the
past three years, impacted by higher provision for credit losses,
social distancing impact on credit card income and fees,
non-recurring events with the adoption of IFRS and civil
provisions, amid extraordinary revenues coming from credit sales.

At the same time, selling best quality payroll loans also weakens
the bank's asset quality as shifts loan mix to higher risk credit
card and lowest quality payroll loans, amid fierce competition
prevents the maintenance of strong credit origination. Cetelem's
loan book declined by 25% to BRL7.9 billion in the 2020 from 2019,
primarily because of the sale of BRL3.1 billion in payroll loans in
H1 2020. On the other hand, the bank has tightened origination
standards on credit card and payroll lending, as a way to preserve
asset quality. Cetelem's problem loan ratio was flat at 2.2% in
2020, compared to 2019, with loan loss reserve coverage high at 3x
of problem loans.

Moody's also acknowledges the bank's strong capitalization ratio,
measured by Moody's as tangible common equity relative to risk
weighted assets, of 16.6% in 2020, which provides strong
loss-absorption capacity as the bank's asset risk increases and
profitability declines.

Cetelem's funding structure reflects a strategic choice to rely on
sister bank Banco BNP Paribas Brasil S.A. (BNP Brasil, unrated) as
its main funding source. BNP manages liquidity and funding for the
Brazilian subsidiaries on a consolidated basis, with BNP Brasil
responsible for raising deposits and market funds from local market
participants. Cetelem's limited liquidity reflects the disciplined
management of its assets and liabilities, and the bank's access to
alternative funding via asset sales. Cetelem's high level of
integration and strategic coordination with its affiliates with
regards to funding and liquidity management supports Moody's view
that there is a high probability that the bank's ultimate parent
would provide extraordinary support in an event of stress.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

Cetelem's ratings could be upgraded if the bank is able to improve
its recurring profitability significantly on a sustained basis and
reduce delinquency levels.

Cetelem's ratings could be downgraded if asset risk and
profitability weaken materially, leading to permanent damage to its
capital. The bank's deposit rating, which benefits form affiliate
support, could face downward pressure if the parent company is
downgraded. A downgrade of Brazil's sovereign rating could lead to
similar action on Cetelem's foreign currency deposit ratings

Downgrades:

Issuer: Banco Cetelem S.A.

Adjusted Baseline Credit Assessment, Downgraded to ba2 from ba1

Baseline Credit Assessment, Downgraded to b1 from ba3

ST Counterparty Risk Assessment, Downgraded to NP(cr) from
P-3(cr)

LT Counterparty Risk Assessment, Downgraded to Ba1(cr) from
Baa3(cr)

ST Counterparty Risk Rating (Foreign Currency), Downgraded to NP
from P-3

ST Counterparty Risk Rating (Local Currency), Downgraded to NP
from P-3

LT Counterparty Risk Rating (Foreign Currency), Downgraded to Ba1
from Baa3

LT Counterparty Risk Rating (Local Currency), Downgraded to Ba1
from Baa3

LT Deposit Rating (Local Currency), Downgraded to Ba2 from Ba1,
Stable from Negative

LT Deposit Rating (Foreign Currency), Downgraded to Ba2 from Ba1,
Stable from Negative

Affirmations:

Issuer: Banco Cetelem S.A.

ST Deposit Rating (Local Currency), Affirmed NP

ST Deposit Rating (Foreign Currency), Affirmed NP

Outlook Actions:

Issuer: Banco Cetelem S.A.

Outlook, Changed To Stable From Negative

The principal methodology used in these ratings was Banks
Methodology published in March 2021.


BRAZIL: Sugar Output Revised Downward as Dry Weather Persists
-------------------------------------------------------------
Rio Times Online reports that Brazil's 2021/22 Center-South sugar
production was revised to 34.1 million tons from an April
projection of 35.6 million tons, as persistent dry weather hurt
cane development, food trader and supply chain services provider
Czarnikow said on June 28.

According to the report, Brazilian millers will be able to crush
only 535 million tons of sugar cane this season, the smallest
amount since 2012, the report notes.  Czarnikow's previous estimate
was for a crush of 558 million tons, according to Rio Times Online.
Brazil's Center-South processed 605 million tons in 2020/21.

Cane-based ethanol production is seen falling 12% from the previous
season to 24.4 billion liters, the report relays.

               About Brazil

Brazil is the fifth largest country in the world and third largest
in the Americas.  Jair Bolsonaro is the current president, having
been sworn in on Jan. 1, 2019.

Fitch Ratings' credit rating for Brazil stands at 'BB-' with a
negative outlook (November 2020).  Fitch's 'BB-' Long-Term Foreign
and Local Currency Issuer Default Ratings (IDRs) has been affirmed
in May 2021.  Standard & Poor's credit rating for Brazil stands at
BB- with stable outlook (April 2020).  S&P's 'BB-/B' long-and
short-term foreign and local currency sovereign credit ratings for
Brazil were affirmed in December 2020.  Moody's credit rating for
Brazil was last set at Ba2 with stable outlook (April 2018). DBRS's
credit rating for Brazil is BB (low) with stable outlook (March
2018).


BTG PACTUAL: Fitch Affirms 'BB-' LongTerm IDRs, Outlook Negative
----------------------------------------------------------------
Fitch Ratings has affirmed the Long-Term Foreign and Local Currency
Issuer Default Ratings (IDRs) of Banco BTG Pactual S.A. (BTG
Pactual) and BTG Pactual Holding S.A. (BTGH) at 'BB-'. The Rating
Outlook is Negative.

Fitch has also affirmed BTG Pactual and BTGH's national ratings at
'AA(bra)' with a Stable Outlook.

KEY RATING DRIVERS

BTG Pactual - VR, IDRS AND NATIONAL RATINGS

The IDRs and National Ratings are driven by BTG Pactual's
standalone creditworthiness, as measured by its Viability Rating
(VR) of 'bb-'. BTG Pactual's ratings are highly influenced by the
strength of its domestic franchise, particularly in its investment
banking and asset- and wealth-management segments, and its
diversified product mix, despite some concentration in capital
markets revenues. This has supported a good record of execution and
earnings resilience against a more unstable operating environment.

However, BTG Pactual's credit profile is highly correlated with the
operating environment in Brazil (b+/Negative) and, therefore, its
overall performance and asset quality are sensitive to the domestic
economic environment. Furthermore, BTG Pactual's funding access,
stability and costs are also influenced by perceptions of Brazil's
sovereign risk.

The VR also factors in higher capital buffers compared with peer
institutions, an improved funding structure, albeit still biased
toward wholesale funds, prudent liquidity management and adequate
asset quality.

BTG Pactual benefits from an integrated and diversified business
model, which is a rating strength and has allowed the bank to
generate capital consistently through various economic cycles. The
bank continues to hold leading or near-leading market shares in
many business segments, including a leading market share in debt
and equity underwriting, a strong position in client asset
management and a growing corporate lending franchise. This results
in a certain degree of pricing power and good cross-selling among
its business units. Combined with funding improvements in 2020,
this has enabled the bank to manage pandemic-related risks better
than expected. However, in Fitch's assessment Fitch also considers
BTG Pactual's non-traditional banking activities, with part of its
product mix still weighted toward trading gains.

BTG Pactual's initiatives in the retail segment have proven
supportive for overall business volumes, including greater flow of
client assets and retail deposits. BTG Pactual has also
strengthened its digital franchise and product mix over the past
two years through selected acquisitions of independent platforms
leveraging on their pool of clients and assets under custody. Fitch
believes that BTG is well-positioned for the ongoing advancement of
digitization within the financial services industry, and has the
capacity to invest sufficiently to increase its market
positioning.

BTG Pactual's earnings profile benefits from its fee-generating
banking business, which provides a stable and recurrent source of
income. Core operating revenues grew 31% in 2020, driven by
outperformance in corporate lending revenues and good performance
across other segments, which helped to absorb higher operating
costs related to its digital banking expansion. As a result, 2020
operating profitability as a share of risk-weighted assets declined
only slightly to 2.9%. In Fitch's baseline scenario, Fitch expects
operating profitability to benefit from continued momentum.

BTG Pactual is adequately capitalized for its risk profile
supported by good earnings retention. Capital buffers over
regulatory requirements have improved after two follow-on offerings
in 2021, demonstrating good capital flexibility to access capital
markets. At end-March 2021 the regulatory common equity Tier 1
(CET1) ratio was 14.8% (up from 12.2% at YE 2019), which compares
well by national standards and Fitch expects this to be maintained
in the medium term. The equity-to-asset ratio was also sound at
around 11% at end-March 2021.

Our assessment of asset quality considers the average loan quality
and the significant proportion of cash and liquid assets on its
balance sheet. BTG Pactual's impaired assets ratio stood at 4.1% at
end-March 2021 and has improved over the past few years, despite
pressure from the pandemic. This is due to the bank's focus on
top-tier domestic large corporates and lower exposure to small and
medium-sized entities or severely affected sectors. In Fitch's
view, BTG Pactual's BRL1.3 billion in allowance for loan losses at
end-March 2021 is adequate to absorb medium term losses without
presenting a material challenge to earnings or solvency. However,
asset-quality remains sensitive to single-borrower concentrations.

In terms of funding, BTG Pactual's higher reliance on wholesale
funding remains a rating constraint. However, in line with the
medium-term diversification of its business mix, BTG Pactual's
improved market access and its ongoing efforts to diversify its
funding mix to raise stable deposit funding is a positive
development. Higher levels of liquidity from strong deposit growth
during the pandemic support Fitch's assessment of BTG Pactual's
funding and liquidity profile. At the same time, BTG Pactual
benefits from reasonably diversified funding sources with frequent
access to secured and unsecured wholesale markets.

In Fitch's view, deposit growth of BRL34.8 billion (or 157% during
2020) will likely normalize over the medium term as the economic
recovery progresses. However, Fitch expects BTG Pactual's
loan-to-deposit ratio to remain below pre-pandemic levels over the
medium term. At YE 2020, the ratio had declined to 92% from 136%
the prior year. BTG Pactual's reported high-quality liquid assets
grew to BRL41 billion at YE 2020 (17% of its total assets), from
BRL17 billion at YE 2019.

BTGH - IDRS AND NATIONAL RATINGS

BTGH is a pure holding company and its long-term and short-term
IDRs and national ratings are the same as those of BTG Pactual, its
main operating subsidiary (directly controls 76.5% of BTG), due to
its moderate leverage and the favorable regulatory framework for
financial groups in Brazil. The equalization of the ratings is
based on the high correlation between the probability of default
for BTGH and the bank. Both are incorporated in the same
jurisdiction and are supervised by the Brazilian authorities. The
holding company's double-leverage ratio was moderate.

SUPPORT RATING AND SUPPORT RATING FLOOR

BTG Pactual's and BTGH's Support Rating (SR) and Support Rating
Floor (SRF) were affirmed at '5' and 'No Floor', respectively,
given Fitch's low assessment of its systemic local importance.

DEBT RATINGS

BTG Pactual's senior unsecured issuances are in line with its IDRs.
The probability of default of any senior obligation is tied to that
of the bank (reflected in the Long-Term IDR), as a default of
senior obligations would be treated by the agency as default by the
entity.

BTG Pactual's subordinated notes maturing in September 2022 are
rated two notches below its VR of 'bb-' reflecting one notch for
the characteristics of loss severity and subordination and one
notch for the moderate non-performance risk.

The subordinated notes eligible as Tier 2 capital due in 2029 are
rated two notches below BTG Pactual's VR of 'bb-'. The notching is
driven by the notes' high expected loss severity. No notching for
non-performance is applied because coupons are not deferrable and
the write-off trigger is close to the point of non-viability. As a
result, Fitch believes that the incremental non-performance risk is
not material from a rating perspective.

RATING SENSITIVITIES

BTG PACTUAL

IDRS, VR

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- The Outlook could be revised to Stable if the bank's operating
    environment stabilizes, limiting downside risks to its asset
    quality and profitability, while maintaining current capital
    levels.

-- A revision of the Outlook on the sovereign's ratings to Stable
    could result in a similar action on the bank.

-- An upgrade is currently unlikely and would be contingent on a
    material improvement of the operating environment, which is
    currently scored at 'b+'/Negative, and/or a sovereign upgrade.
    This would have to be accompanied by a strengthening of BTG
    Pactual's company profile, including a larger share of retail
    deposit funds and lower reliance on market-related gains,
    while maintaining sound capitalization.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- BTG Pactual ratings remain influenced by sovereign ratings and
    the local operating environment. A downgrade of the sovereign
    rating would result in a similar action in the long-term IDRs
    of the bank.

-- A more substantial and prolonged deterioration in asset
    quality or profitability than Fitch currently envisages,
    ultimately eroding the CET1 ratio without credible prospects
    for it to be restored, could lead to a downgrade. Sustained
    assets under management outflows from damage in the bank's
    franchise would also lead to negative rating pressures.

NATIONAL RATINGS

Rating actions on BTG Pactual's IDRs or a change in the bank's
credit profile relative to Brazilian peers may lead to a similar
action on the bank's national scale ratings.

SENIOR AND SUBORDINATED DEBT

BTG Pactual's senior debt ratings would move in line with the
bank's IDRs. Subordinated debt and hybrid ratings would be
sensitive to changes in the bank's VR and maintain the relativity
in respect to this anchor rating.

BTGH

BTGH's IDR and national ratings would remain at the same level as
BTG Pactual and would move in tandem with any rating actions on its
main operating subsidiary. However, a material and sustained
increase in BTGH's double-leverage metrics (above 120%), would be
negative for ratings. Additionally, a change in the dividend flows
from the operating companies or debt levels at the holding company
that affects its debt coverage ratios could also be detrimental to
its ratings.

BTG PACTUAL AND BTGH'S SR AND SRF

An upgrade of BTG Pactual Support Rating and Support Rating Floor
is unlikely in the foreseeable future, as this would result from a
material gain of systemic importance.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Financial Institutions and
Covered Bond issuers have a best-case rating upgrade scenario
(defined as the 99th percentile of rating transitions, measured in
a positive direction) of three notches over a three-year rating
horizon; and a worst-case rating downgrade scenario (defined as the
99th percentile of rating transitions, measured in a negative
direction) of four notches over three years. The complete span of
best- and worst-case scenario credit ratings for all rating
categories ranges from 'AAA' to 'D'. Best- and worst-case scenario
credit ratings are based on historical performance.

ESG CONSIDERATIONS

Fitch has revised BTG Pactual's ESG Relevance Score for Governance
Structure to '3' from '4' due to Fitch's view that, following the
business segregation of its related entity PPLA Investments LP, BTG
Pactual's organizational structure has become less complex. Fitch
has also revised BTG Pactual's ESG Relevance Score for Management
and Strategy to '3' from '4' to reflect improved execution and
Fitch's view that strategic objectives are clearly articulated.
These factors are credit-neutral or have only a minimal credit
impact on the entity.

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.


USINA CORURIPE: Moody's Withdraws Caa1 Corporate Family Rating
--------------------------------------------------------------
Moody's Investors Service has withdrawn the rating for Usina
Coruripe Acucar e Alcool ("Coruripe") including the companies Caa1
corporate family rating and its stable outlook.

At the time of withdrawal, there were no debt instruments rated by
Moody's Investors Service.

RATINGS RATIONALE

Moody's Investors Service's Policy for Withdrawal of Credit Ratings
is available at www.moodys.com.

Founded in 1925 and headquartered in Coruripe, State of Alagoas,
Usina Coruripe is a sugar and ethanol producer and electricity
cogenerator with five crushing units, one in the State of Alagoas
and other four in the State of Minas Gerais. In the 2020-21
harvest, the company generated BRL3.0 billion in revenues. The
company currently has the largest plant in the Northeast region of
Brazil with 3,000 ton capacity.


XP INC: Fitch Affirms 'BB-' LongTerm IDRs, Outlook Negative
-----------------------------------------------------------
Fitch Ratings has affirmed XP Inc´s Long-Term Local and Foreign
Currency Issuer Default Ratings (IDRs) at 'BB-' with a Negative
Rating Outlook. At the same time, Fitch has affirmed XP
lnvestimentos SA (XPI) and Banco XP SA's (Banco XP) national
ratings at 'AA (bra)' with a Stable Outlook.

Fitch also assigned a 'BB-' final rating to XP Inc.'s USD750
million senior unsecured notes due 2026. The final rating is in
line with the expected rating that Fitch assigned to the proposed
debt on June 21, 2021.

KEY RATING DRIVERS

XP Inc.

XP Inc.'s ratings are one notch above the operating environment
score of 'b+', which has a negative trend for Brazilian financial
institutions and are also at the level of the Brazilian's sovereign
rating of 'BB-' with a Negative Outlook.

The ratings are highly influenced by the company profile and
reflect the company's market leading retail brokerage franchise in
Brazil, including a well-developed open architecture distribution
business, which has translated into sustained strong financial
metrics under Fitch's "Non-Bank Financial Institutions Rating
Criteria." Fitch views the company's organizational structure as
complex, given the existing layers of intermediate holding
companies. The ratings also consider the high influence of the
company's sound profitability and its relatively resilient
performance through the cycles.

XP Inc.'s low-risk balance sheet and solid business model
underpinned the milder-than-peers effect from the current crisis on
the group's financial profile. However, Fitch believes that the
operating environment exerts a high influence on XP Inc.'s ratings
and prospects, in particular, in relation to the company's domestic
clients and operations. Fitch's assessment also factors in the
group's moderate lending activity expansion.

XP Inc's business model has evolved into a full service financial
firm catering to the needs of mass market retail investors. The
company's robust technological platform and strong brand reputation
are key competitive advantages over domestic banks as it connects
different competitors, mostly banks and asset managers, to an ample
pool of retail clients in a reliable and efficient manner, offering
a one-stop solution.

The continuous development of its platform gives XP Inc. a tool to
escalate its business at a low marginal cost, supporting the
stability and predictability of earnings. The company offers a full
range of services and products to individuals and companies,
offering different types of investments products, from different
issuers, banks and managers.

Senior Debt

XP Inc.´s senior unsecured notes are rated at the same level as
'BB-' Long-Term IDR, which reflects the unsecured nature of the
instruments. The notes will also rank pari passu with other senior
unsecured obligations.

XPI and Banco XP

The national ratings for XPI and Banco XP are based on XP Inc.´s
support. Fitch mainly considers the high degree of operational
integration and joint management of related entities with XP Inc.,
in addition to the high fungibility of capital and liquidity in its
evaluation. The agency also considers the central role played by
the bank in the group's business diversification and funding
strategy to be highly important.

XPI is an operating holding company that consolidates the group's
investments in Brazil. Fitch considers the high correlation between
the default probability of XPI and XP Inc. XPI had moderate double
leverage (equity investments in subsidiaries and intangible assets
of the holding/holding equity), of 118% in 2020 and 2019.

Banco XP is highly integrated with XP Inc. and, despite its still
moderate representation, in the total assets, it is very important
in the business model and group development strategy. Its business
model, fully integrated into the group, is aimed at offering
banking products, especially credit cards and collateralised loans
with investment guarantees from the XP Inc.'s customers, in
addition to being the group's funding arm in the market.

XPI´s Debentures

The senior debenture issue ratings are in line with XPI's National
Long-Term Rating. This reflects Fitch's view that the default risk
of senior debt is equivalent to the default risk related to XPI's
other senior obligations.

RATING SENSITIVITIES

XP Inc. - IDRS AND SENIOR DEBT

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Further changes in Brazil's ratings or Outlooks or in Fitch's
    assessment of the Operating Environment;

-- In the medium to long term, a relevant evolution of XP Inc.'s
    company profile, a substantial improvement in business model
    diversification, and a relevant strengthening of the franchise
    with better visibility of the organization's structure that
    could enable the entity to service its obligations in an event
    of a sovereign default.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Further changes in Brazil's ratings or Outlooks or in Fitch's
    assessment of the Operating Environment;

-- Relevant operational losses, which bring some damage to the
    company's image and/or worsen operating results, in addition
    to greater leverage, with greater risk on-the-balance sheet
    can negatively affect the ratings;

-- If the company starts to show volatility in earnings and
    profitability metrics.

XPI and Banco XP - NATIONAL RATINGS

Any change in XP Inc.'s capacity or propensity to provide support
could affect XPI and Banco XP's ratings.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Financial Institutions and
Covered Bond issuers have a best-case rating upgrade scenario
(defined as the 99th percentile of rating transitions, measured in
a positive direction) of three notches over a three-year rating
horizon; and a worst-case rating downgrade scenario (defined as the
99th percentile of rating transitions, measured in a negative
direction) of four notches over three years. The complete span of
best- and worst-case scenario credit ratings for all rating
categories ranges from 'AAA' to 'D'. Best- and worst-case scenario
credit ratings are based on historical performance.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.




===========================
C A Y M A N   I S L A N D S
===========================

BTG PACTUAL CAYMAN: Fitch Gives BB-(EXP) on $500MM Unsec. Notes
---------------------------------------------------------------
Fitch Ratings has assigned Banco BTG Pactual S.A.'s USD500 million
senior unsecured notes due 2025 an expected long-term rating of
'BB-'.

The notes will be part of BTG Pactual's proposed reopening of
senior unsecured notes, originally issued in November 2019, and
will be issued through BTG Pactual's Cayman Islands Branch under
the parent bank's existing USD5 billion medium-term note program.

KEY RATING DRIVERS

The senior unsecured notes are rated at the same level as the
bank's 'BB-' Long-Term Issuer Default Ratings (IDRs), which
reflects the unsecured nature of the instruments. The notes will
also rank pari passu with other senior unsecured obligations. The
probability of default of any senior obligation is tied to that of
the bank (reflected in the Long-Term IDR), as a default of senior
obligations would be treated by the agency as default by the
entity.

BTG Pactual's IDRs are aligned with its 'bb-' Viability Rating
(VR), indicating that its creditworthiness is driven by the bank's
intrinsic credit profile.

RATING SENSITIVITIES

Factor that could, individually or collectively, lead to positive
rating action/upgrade:

-- Upgrades on debt ratings depend on upgrades of BTG Pactual's
    IDRs, given it serves as an anchor rating for issuances.

Factor that could, individually or collectively, lead to negative
rating action/downgrade:

-- Debt rating downgrades will depend on downgrades of BTG
    Pactual's IDRs, given that its serves as an anchor rating for
    issuances.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Financial Institutions and
Covered Bond issuers have a best-case rating upgrade scenario
(defined as the 99th percentile of rating transitions, measured in
a positive direction) of three notches over a three-year rating
horizon; and a worst-case rating downgrade scenario (defined as the
99th percentile of rating transitions, measured in a negative
direction) of four notches over three years. The complete span of
best- and worst-case scenario credit ratings for all rating
categories ranges from 'AAA' to 'D'. Best- and worst-case scenario
credit ratings are based on historical performance.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.


BTG PACTUAL CAYMAN: Moody's Rates New 2025 Sr. Unsec. Notes 'Ba2'
-----------------------------------------------------------------
Moody's Investors Service has assigned a Ba2 global foreign
currency senior unsecured rating to Banco BTG Pactual S.A., Grand
Cayman Branch (BTG Pactual Cayman) proposed reopening of the 4.5%
five-year global senior unsecured notes due 2025. The reopening is
for an additional amount of up to $500million to the notes
originally issued in November 2019. The notes were issued under the
existing $5 billion Global Medium Term Note Program, rated (P)Ba2,
and are due in 2025. The outlook on the ratings is stable.

Assignments:

Issuer: Banco BTG Pactual S.A., Grand Cayman Branch

Senior Unsecured Regular Bond/Debenture, Assigned Ba2, Stable

RATINGS RATIONALE

The rating agency explained that the foreign currency senior
unsecured debt rating derives from Banco BTG Pactual S.A.'s (BTG
Pactual) Ba2 global local currency deposit rating, which, in turn,
reflects the bank's baseline credit assessment (BCA) of ba2. The
rating does not benefit from any uplift from systemic support
considerations because of the bank's modest market share of
deposits in Brazil.

BTG Pactual's ba2 baseline credit assessment (BCA) incorporates the
bank's sound liquidity and robust capitalization that has supported
its expansion into digital banking and strong corporate lending
over the past year. BTG Pactual' consistent growing asset and
wealth management activities, along with new retail banking and
investment platforms have been steadily enhancing earnings
recurrence, offsetting volatile nature of traditional investment
banking operation. With a well-established position in the wealth
and asset management, BTG has showed steady increase of net new
money, with total resources under management up by 98% and 67% year
over year, respectively, in March 2021, contributing to 20% of
total revenues in Q1 2021. In addition, lending activities have
also been a key segment of the bank contributing to increasing
earnings that responded for another 20% of total revenues in
March.

BTG Pactual maintains a competitive footprint in investment banking
as one leader in the segment in Brazil. Earnings from investment
banking and sales and trading remain as a more vulnerable component
for profitability and accounted for 46% of first quarter earnings,
supporting the bank's strong performance in the period, and
benefiting from high volatility and the consistent expansion of the
local capital market activities. For the first three months of
2021, the bank reported net income of 1.68% relative to tangible
assets, above the 1.63% reached in 2020, reflecting the bank's
strong business growth since June 2020.

BTG Pactual's capitalization, measured as tangible common equity as
a proportion of risk weighted assets (TCE/RWA), remained high at
12.13% in Q12021, supported by internal earnings retention and the
two recent follow-on offerings completed in January and June 2021
that added BRL5.6 billion to the bank's capital position. The
capitalization, which is higher than that of large Brazilian bank
peers, will continue to support its growing loan book and
acquisition of complementary businesses to build its digital retail
banking platform focused on medium and high income clients.

With corporate loans growing at 108% in the last twelve months
ended in March 2021, BTG Pactual's problem loan ratio stood at just
0.17% of gross loans. However, problem loans will likely increase
as this credit growth strategy matures, but asset quality
deterioration will be mitigated by the collateralization of the
loans with lower-corporate customers and the higher granularity of
the portfolio, two positive factors of this diversification
strategy. As of March 2021, reserves for loan losses accounted for
2.33% of gross loans, down from 3.7% at the end of 2020.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING

The Ba2 rating assigned to BTG Pactual's senior unsecured notes is
unlikely to face upward pressure, as the bank's adjusted BCA, which
is the anchor credit risk assessment for the instrument rating, is
currently at the same level as the Government of Brazil's Ba2
sovereign rating, which carries a stable outlook.

Conversely, the rating could be downgraded if Brazil's sovereign
rating is downgraded, or if rapid loan growth leads to a sharp
increase in asset risk for BTG Pactual or if the bank's
capitalization ratio drops sharply. Downward rating pressure could
also be triggered by weakening liquidity, which could increase the
bank's intrinsic vulnerability to its institutional-based funding
structure.

The principal methodology used in this rating was Banks Methodology
published in March 2021.




===============
C O L O M B I A
===============

COLOMBIA: Fitch Lowers LT IDRs to 'BB+' & Alters Outlook to Stable
------------------------------------------------------------------
Fitch Ratings has downgraded Colombia's Long-Term Foreign-Currency
(LT FC) and Local Currency (LT LC) Issuer Default Ratings (IDR) to
'BB+' from 'BBB-'. The Outlook was revised to Stable from
Negative.

KEY RATING DRIVERS

The downgrade reflects the deterioration of the public finances
with large fiscal deficits in 2020-2022, a rising government debt
level, and reduced confidence around the capacity of the government
to credibly place debt on a downward path in the coming years.
Colombia's gross general government debt (GGGD) to GDP is forecast
to reach 60.8% in 2021, more than double the 30% level when Fitch
upgraded Colombia back to the 'BBB' category in 2011. Fitch expects
debt to continue to rise through 2022 and does not expect
significant debt reduction over the medium term, leaving Colombia
vulnerable to shocks. Furthermore, Fitch sees significant risks to
the government's fiscal consolidation plan, given the reliance on
tax administration efforts and divestments, as well as the
uncertainty of the impact of the pending tax reform.

The impact of the Covid-19 pandemic, reflecting the 6.8% GDP
contraction in 2020, led to a sharp rise in general government debt
to GDP, reaching 58.3% of GDP in 2020 (versus 54.2% for 'BBB'
median and 59.1% for the 'BB' median), up from 44.7% in 2019.
Fitch's debt dynamics forecasts have weakened further since Fitch's
last review. Fitch now expects GGGD to GDP to continue to rise over
the forecast period to 64.4% of GDP by 2023. Debt could stabilize
around 64% by 2024 but, in Fitch's view, further fiscal
consolidation initiatives beyond those already identified would
likely be necessary to begin to reduce the debt level in a
meaningful way thereafter.

The pandemic has had a significant impact on Colombia's population
and its macroeconomic out-turns. Despite numerous lockdowns, deaths
have reached over 100,000 and the country is currently experiencing
a severe third wave of infections. The economic impact of the
coronavirus and the lockdown responses included a sharp rise in the
unemployment rate (to over 20% in May 2020) as well as in rates of
poverty. However, the pace of vaccinations is now picking up (with
around 23% of the population receiving a least one jab according to
Fitch's World in Data) and unemployment has fallen to 15% as some
of the hardest hit parts of the economy begin to reopen.

Against this backdrop, the president's approval rating remains low
(27% in late June according to a poll done for Semana magazine),
hindering the government's reform agenda. At end-April 2021, the
government introduced a tax reform that included extending the base
for personal income taxes and broadening the VAT base in order to
begin a fiscal adjustment as well as to extend social programs such
as cash transfers to the vulnerable and unemployment benefits. This
proposal caused a backlash among the population that resulted in
protests and a national strike. As a result, the government
withdrew the reform proposal, reflecting insufficient support in
the Congress.

Fitch expects the government to reintroduce a revised tax reform
package in July 2021 when the new session of Congress commences,
and is targeting a benefit of around 1.2% of GDP on a net basis.
However, Fitch believes that the majority of the fiscal benefit
will be obtained only in 2023 (given reliance on corporate income
tax measures) while the government extends some pandemic related
spending such as cash transfers into 2022. There is a risk that the
new tax reform could be watered down. Additionally, the passage of
any reforms will be difficult to achieve given the growing social
pressures, the government's low popularity and the upcoming
elections (congressional and presidential elections scheduled for
March 2022 and May 2022 respectively).

Colombia's central government deficit widened to 7.8% of GDP in
2020 as a result of the severe economic downturn, which led to a
fall in revenues and an increase in government spending, reflecting
measures implemented to combat the pandemic and reactivate the
economy. The government announced an extension of some pandemic
related measures through 2022. As a result, Fitch forecasts central
government deficits of 8.2% in 2021 and 6.9% of GDP in 2022
(general government deficits are about 1.0% of GDP lower on average
in last decade). Fitch has included government-targeted divestment
proceeds in its revenue figures, totaling 1.2% of GDP in 2021 and
0.6% of GDP in 2022, with the latter figure subject to some
uncertainty. Without these proceeds, the fiscal deficits would even
be higher.

The government outlined a fiscal consolidation strategy in its
Medium-Term Fiscal Framework published in mid-June 2021 that would
unwind pandemic related spending and increase revenues through an
increase in taxes and tax administration. The fiscal adjustment
targets a five-year transition period to reach a deficit of around
2.5% of GDP (versus previous projection of 1% of GDP). The
government has outlined an updated fiscal rule to be presented with
its new tax reform proposal that will include a debt anchor of 55%
of GDP with a limit of around 70% of GDP.

Near-term growth prospects have brightened given the reopening of
the economy as well as the significant monetary and fiscal stimulus
measures implemented by the government. Fitch has raised its GDP
growth forecast to 6.3% in 2021, up from Fitch's previous forecast
of 4.9%. Fitch sees some upside to even the revised forecast if the
coronavirus pandemic outlook improves and social protests remain
subdued, albeit there is a greater than usual degree of uncertainty
surrounding forecasts.

Fitch expects growth of 3.8% in 2022, somewhat above potential.
While Fitch believes that there has likely been some permanent
economic scarring from the pandemic, the large influx of Venezuelan
immigrants will likely provide a boost to medium-term growth
prospects. Currently favorable terms of trade should also provide
tailwinds to growth prospects.

Inflation and inflation expectations have been contained, with
inflation at the lower end of the target. The central bank cut
rates by 250 basis points to 1.75% between February 2020 and
September 2020. Expectations are for the central bank to begin to
tighten by 4Q21 as the output gap closes.

The current account deficit narrowed significantly in 2020 due to
import contraction and reduced outbound profit remittances as well
as an increase in inbound remittances. Fitch expects the deficit to
widen to 4.4% of GDP in 2021 as a result of higher imports as the
economy recovers. FDI historically has covered around 70% of the
current account deficit (CAD) and Fitch expects the favorable
financing of the CAD to continue during the forecast period.

Net external debt to GDP has risen over the last decade and is
expected to continue to rise over the forecast period to 21.5% of
GDP by 2023 from 16.4% in 2020 due partly to sovereign external
borrowing to finance large deficits. Colombia's external liquidity
has improved markedly over the last three years as a result of the
central bank's international reserve accumulation policy.
International reserves rose to USD58.5 billion at year-end 2020, up
significantly from USD52.7 billion in 2019. As a result, Fitch's
external liquidity ratio rose to 108% in 2021 from 89% in 2019.
Additionally, Colombia maintains access to a flexible credit line
with the IMF for USD12.2 billion (out of a total program of USD17.6
billion).

RATING SENSITIVITIES

FACTORS THAT COULD, INDIVIDUALLY OR COLLECTIVELY, LEAD TO NEGATIVE
RATING ACTION/DOWNGRADE:

-- Public Finances: A failure to achieve fiscal consolidation
    that leads to a significant deterioration in Colombia's
    general government debt to GDP ratio relative to the 'BB' peer
    median;

-- Macro: Diminished medium-term growth prospects well below
    Colombia's historical potential of 3.5%, leading to continued
    high unemployment and poverty levels with social
    ramifications;

-- External Finances: Sharp further increase in net external debt
    to GDP, raising external vulnerabilities.

FACTORS THAT COULD, INDIVIDUALLY OR COLLECTIVELY, LEAD TO POSITIVE
RATING ACTION/UPGRADE:

-- Public Finances: Achieving sustained primary fiscal balances
    consistent with a steadily declining GGGD to GDP ratio that
    enhances fiscal policy credibility;

-- Macro: Higher sustained medium-term economic growth above
    Colombia's historical averages of about 3.5%;

-- Structural: Steady improvement in governance indicators that
    leads to improved social cohesion and reform momentum,
    improving Colombia's structural fiscal position as well as
    medium term growth prospects.

SOVEREIGN RATING MODEL (SRM) AND QUALITATIVE OVERLAY (QO)

Fitch's proprietary SRM assigns Colombia a score equivalent to a
rating of 'BB+' on the LT FC IDR scale.

Fitch's sovereign rating committee adjusted the output from the SRM
to arrive at the final LT FC IDR by applying its QO, relative to
SRM data and output, as follows:

-- Macroeconomic: +1 notch added to compensate for the
    disproportionate negative impact of the GDP volatility
    variable on the SRM score driven by the impact of the pandemic
    shock, which Fitch believes it will be temporary, and would
    otherwise add excess volatility to the rating. Colombia has a
    long track record of stable positive growth with only one year
    of negative growth in the last 30 years.

-- Fiscal: Fitch has introduced a -1 notch to reflect Colombia's
    rigid spending profile and limited ability to achieve a
    structural fiscal consolidation consistent with debt reduction
    over the medium-term. This is evidenced by reliance on one-off
    divestments and the increasing political impediments to
    reducing spending or passing comprehensive structural tax
    reform measures, as well as a high degree of uncertainty about
    the impact on revenues from improved tax administration both
    in terms of size and timing.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Sovereigns, Public Finance
and Infrastructure issuers have a best-case rating upgrade scenario
(defined as the 99th percentile of rating transitions, measured in
a positive direction) of three notches over a three-year rating
horizon; and a worst-case rating downgrade scenario (defined as the
99th percentile of rating transitions, measured in a negative
direction) of three notches over three years. The complete span of
best- and worst-case scenario credit ratings for all rating
categories ranges from 'AAA' to 'D'. Best- and worst-case scenario
credit ratings are based on historical performance.

KEY ASSUMPTIONS

Fitch's oil price assumptions for 2021 are USD63/barrel and
USD55/barrel for 2022.

ESG CONSIDERATIONS

Colombia has an ESG Relevance Score of '5' for Political Stability
and Rights as World Bank Governance Indicators have the highest
weight in Fitch's SRM and are therefore highly relevant to the
rating and a key rating driver with a high weight. As Colombia has
a percentile rank below 50 for the respective Governance Indicator,
this has a negative impact on the credit profile.

Colombia has an ESG Relevance Score of '5[+]' for Rule of Law,
Institutional & Regulatory Quality and Control of Corruption as
World Bank Governance Indicators have the highest weight in Fitch's
SRM and are therefore highly relevant to the rating and are a key
rating driver with a high weight. As Colombia has a percentile rank
above 50 for the respective Governance Indicators, this has a
positive impact on the credit profile.

Colombia has an ESG Relevance Score of ''4[+] for Human Rights and
Political Freedoms as the Voice and Accountability pillar of the
World Bank Governance Indicators is relevant to the rating and a
rating driver. As Colombia has a percentile rank above 50 for the
respective Governance Indicator, this has a positive impact on the
credit profile.

Colombia has an ESG Relevance Score of '4[+]' for Creditor Rights
as willingness to service and repay debt is relevant to the rating
and is a rating driver for Colombia, as for all sovereigns. As
Colombia has track record of 20+ years without a restructuring of
public debt and captured in Fitch's SRM variable, this has a
positive impact on the credit profile.

Except for the matters discussed above, the highest level of ESG
credit relevance, if present, is a score of '3'. This means ESG
issues are credit-neutral or have only a minimal credit impact on
the entity(ies), either due to their nature or to the way in which
they are being managed by the entity(ies).




===================================
D O M I N I C A N   R E P U B L I C
===================================

DOMINICAN REPUBLIC: Maintains Surveillance on Swine Diseases
------------------------------------------------------------
Dominican Today reports that The Directorate General of Livestock
(DIGEGA) reported that it maintained surveillance of swine diseases
in the Dominican Republic and called on unorganized swine producers
to formalize to prevent any illness from affecting their animals.

"Our responsibility is to help producers with sanitary programs to
prevent diseases from affecting their animals. We have a constant
supervision and in case of any complaint we intervene with our
technicians," said the director of DIGEGA, Dr. Geovanny Molina,
according to Dominican Today.

Through the DIGEGA Communications Office, Molina urged the
population to consume pork and pork products because they do not
represent any danger to humans, the report notes.

Given the information circulating in social networks about the
death of pigs in Montecristi, the director of Animal Health of the
DIGEGA of the Ministry of Agriculture, Rafael Bienvenido Núñez,
explained that, out of a population of 132 fattening pigs, there
was a mortality of 60 pigs last June 18, the report relays.  When
they received the notification on the 24th of the same month, they
immediately intervened, the report discloses.

The cases were registered in the municipality of Manzanillo, in the
Gozuela section, Palmarito neighborhood, in the province of
Montecristi.

"The presumptive diagnosis is swine pneumonia. Taking into account
that these pigs were bought in technified farms, where they have
vaccination programs against viruses and other diseases, the report
relays.  These pigs were moved to backyard areas on the border,
where the physical and feeding conditions produce sanitary
challenges," said the official, the report discloses.

He reiterated that it is a sanitary eventuality that occurs
permanently in backyard pigs because they do not have adequate
sanitary and feeding conditions, the report notes.

"Since it was notified, our technicians have been intervening in
the place.  We have the necessary medicines to combat this
situation and it is already under control," said Nunez, the report
says.

He explained that backyard pigs do not represent a risk when they
are managed under normal production conditions, and pigs from
technical farms can be consumed with sanitary and safety guarantees
since they have sanitary programs designed for this sector, the
report relays.

                     Results of The Report

The report made by DIGEGA technicians indicates that the facilities
where the pigs were affected do not have any biosecurity measures,
footbaths, visitor registration, or separation of areas, Dominican
Today discloses.

In addition, the report indicates that the producer does not have a
quarantine station for new animals entering the project, the report
relays.  There is also no area for separating animals showing signs
and symptoms of disease, the report notes.

In addition, the facilities do not have access control, the report
relays.

                      Recommendations

The Animal Health Directorate recommended that swine producers
separate animals showing signs and symptoms from those that do not;
set aside an area within the facilities for sick animals; adapt a
space for new animals as a quarantine area; reinforce biosecurity
by installing disinfection stations before entering the project as
well as footbaths, among other things, the report adds.

                      About Dominican Republic

The Dominican Republic is a Caribbean nation that shares the island
of Hispaniola with Haiti to the west. Capital city Santo Domingo
has Spanish landmarks like the Gothic Catedral Primada de America
dating back 5 centuries in its Zona Colonial district. Luis Rodolfo
Abinader Corona is the current president of the nation.

The Troubled Company Reporter-Latin America reported in April 2019
that the Dominican Today related that Juan Del Rosario of the UASD
Economic Faculty cited a current economic slowdown for the
Dominican Republic and cautioned that if the trend continues,
growth would reach only 4% by 2023. Mr. Del Rosario said that if
that happens, "we'll face difficulties in meeting international
commitments."

An ongoing concern in the Dominican Republic is the inability of
participants in the electricity sector to establish financial
viability for the system.

Fitch Ratings on Jan. 18, 2021, assigned a 'BB-' rating to
Dominican Republic's USD1.5 billion 5.3% notes due Jan. 21, 2041.
Concurrently, the Dominican Republic reopened its 2030 4.5% notes
for an additional USD1.0 billion, which Fitch rates 'BB-', raising
the total outstanding amount of the 2030 notes to USD2.0 billion.

Standard & Poor's, on December 4, 2020, affirmed its 'BB-'
long-term foreign and local currency sovereign credit ratings on
the Dominican Republic. The outlook remains negative. S&P also
affirmed its 'B' short-term sovereign credit ratings. The negative
outlook reflects S&P's view that it could lower the ratings on the
Dominican Republic over the next six to 18 months, given the
severe impact of the COVID-19 pandemic on the sovereign's already
vulnerable fiscal and external profiles, as well as the potential
for a weaker-than-expected economic recovery.

Moody's credit rating for Dominican Republic was last set at Ba3
with stable outlook (July 2017). Fitch's credit rating for
Dominican Republic was last reported at BB- with negative outlook
(May 8, 2020).


DOMINICAN REPUBLIC: Remittances is Country's Weapon Against Poverty
-------------------------------------------------------------------
Dominican Today reports that the Dominican Republic is the country
in the Central American region with the highest growth in the
arrival of remittances in the first quarter of 2021, income that
has an impact on reducing poverty and the GINI coefficient (method
used to measure wage inequality).

Remittances are associated with a 3.5% reduction in the proportion
of people living in poverty and of the GINI coefficient between
0.20 and 0.26 percentage points, as contained in the report
"Remittances in Central America: The role of CABEI (Central
American Bank of Economic Integration)," according to Dominican
Today.

Those currencies are also associated with greater investment in
health, education and entrepreneurship among the beneficiaries, the
report notes.

                      About Dominican Republic

The Dominican Republic is a Caribbean nation that shares the island
of Hispaniola with Haiti to the west. Capital city Santo Domingo
has Spanish landmarks like the Gothic Catedral Primada de America
dating back 5 centuries in its Zona Colonial district. Luis Rodolfo
Abinader Corona is the current president of the nation.

The Troubled Company Reporter-Latin America reported in April 2019
that the Dominican Today related that Juan Del Rosario of the UASD
Economic Faculty cited a current economic slowdown for the
Dominican Republic and cautioned that if the trend continues,
growth would reach only 4% by 2023. Mr. Del Rosario said that if
that happens, "we'll face difficulties in meeting international
commitments."

An ongoing concern in the Dominican Republic is the inability of
participants in the electricity sector to establish financial
viability for the system.

Fitch Ratings on Jan. 18, 2021, assigned a 'BB-' rating to
Dominican Republic's USD1.5 billion 5.3% notes due Jan. 21, 2041.
Concurrently, the Dominican Republic reopened its 2030 4.5% notes
for an additional USD1.0 billion, which Fitch rates 'BB-', raising
the total outstanding amount of the 2030 notes to USD2.0 billion.

Standard & Poor's, on December 4, 2020, affirmed its 'BB-'
long-term foreign and local currency sovereign credit ratings on
the Dominican Republic. The outlook remains negative. S&P also
affirmed its 'B' short-term sovereign credit ratings. The negative
outlook reflects S&P's view that it could lower the ratings on the
Dominican Republic over the next six to 18 months, given the
severe impact of the COVID-19 pandemic on the sovereign's already
vulnerable fiscal and external profiles, as well as the potential
for a weaker-than-expected economic recovery.

Moody's credit rating for Dominican Republic was last set at Ba3
with stable outlook (July 2017). Fitch's credit rating for
Dominican Republic was last reported at BB- with negative outlook
(May 8, 2020).




=============
E C U A D O R
=============

BANCO PICHINCHA 5: Fitch Gives Final 'B-' Rating on 4 Tranches
---------------------------------------------------------------
Fitch Ratings has assigned final ratings to Fideicomiso Mercantil
Titularizacion Hipotecaria de Banco Pichincha 5 (FIMEPCH 5). This
is the first Ecuadorian RMBS transaction rated by Fitch. The notes
will ultimately be backed by a $176.2 million pool of residential
mortgages in Ecuador by Banco Pichincha. Fitch's ratings address
the likelihood of timely payment of interest and ultimate payment
of principal for the series A notes.

DEBT        RATING            PRIOR
----        ------            -----
Fideicomiso Mercantil Titularizacion Hipotecaria de Banco Pichincha
5

A1   LT  B-sf  New Rating   B-(EXP)sf
A2   LT  B-sf  New Rating   B-(EXP)sf
A3   LT  B-sf  New Rating   B-(EXP)sf
A4   LT  B-sf  New Rating   B-(EXP)sf
B    LT  NRsf  New Rating

KEY RATING DRIVERS

Higher Stresses Applied Due to Ecuador Macroeconomic Environment:
Ecuador's Sovereign Issuer Default Ratings are 'B-'/Stable and its
Country Ceiling (CC) is 'B-'. As a result of the macroeconomic
environment and potential idiosyncratic risks embedded in Latin
America, stresses applied to the rated notes are higher and
comparable with those Fitch would otherwise apply three rating
categories above the cap level (defined at B+sf for Ecuador),
according to Fitch's 'Structured Finance and Covered Bonds Country
Risk Rating Criteria.'

Assumptions Reflect Standard Portfolio: Fitch received updated
asset data as of May 31, 2021. The assets are composed of 3,158
mortgage loans with an outstanding balance of $172.5 million
and$3.7 million in cash (amortization of the mortgage pool between
April 2021 and May 2021) deposited in the Issuer Account Bank that
will be used to buy new loans.

The agency defined a weighted average foreclosure frequency (WAFF)
of 17.1% and a WA recovery rate (WARR) of 85.3% for the 'B-sf'
stress scenario. These assumptions consider the main
characteristics of the assets, where the original loan-to-value
(OLTV) average 61.5%, the original term of the assets average 207
months, the remaining term average 161 months, and 30.2% of the
portfolio is concentrated in properties valued equal or less than
300 minimum wages at origin.

Adequate Capital Structure Supports Ratings: The series A notes
benefit from a sequential pay structure, where their target
amortization payments are senior to interest and principal payments
on the series B notes. Series A also benefits from credit
enhancement (CE) of 10% in the form of subordination and an
interest reserve account equivalent to 3x their next interest
payment, which allows them to pass the 'B-sf' stress test. Also,
although they benefit from excess spread, due to their Net WAC
feature the agency has not given credit to this variable in the
cash flow modelling.

Ratings Capped at Issuer Account Bank: The series A notes are
capped at the rating of the Issuer Account Bank provider (initially
Banco Pichincha [(B-/Negative]). According to Fitch's Structured
Finance and Covered Bonds Rating Criteria, at the 'Bsf' rating
category the Issuer Account Bank needs to have at least the same
rating than the notes, but in this case, the eligible bank has been
defined as an entity that maintain a rating equal to or maximum one
notch below Ecuador's sovereign rating (B-/Stable) which constrains
the ratings assigned.

Operational Risk Mitigated: Pursuant to the servicer agreement,
Banco Pichincha will perform the role of primary servicer. Fitch
has reviewed Banco Pichincha's systems and procedures and is
satisfied with its servicing capabilities. Additionally,
Corporacion de Desarrollo de Mercado Secundario de Hipotecas CTH
S.A. (CTH), has been designated as master and back-up servicer,
mitigating the exposure to operational risk.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- The ratings assigned are sensitive to the credit quality of
    the Ecuadorian sovereign, as well as to the credit quality of
    Pichincha (acting as the Issuer Account Bank). An upgrade on
    the sovereign of Ecuador (especially on its Country Ceiling
    level) and an upgrade on Banco Pichincha could result in an
    upgrade on the series A notes.

-- Stable to improved asset performance driven by stable
    delinquencies and defaults would lead to increasing CE levels.
    Fitch tested an additional rating sensitivity scenario by
    applying a decrease in the FF of 15% and an increase in the RR
    of 15%. The ratings for the series A remained at the same
    level, considering the rating cap in place.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- The ratings assigned are sensitive to the credit quality of
    the Ecuadorian sovereign, as well as to the credit quality of
    Banco Pichincha (acting as the Issuer Account Bank). A
    downgrade on the sovereign of Ecuador (especially on its
    Country Ceiling level) or a downgrade on Banco Pichincha would
    result in a downgrade on the series A notes.

-- The transaction performance may also be affected by changes in
    market conditions and economic environment. Weakening economic
    performance is strongly correlated to increasing levels of
    delinquencies and defaults that could reduce CE available to
    the notes. Additionally, unanticipated declines in recoveries
    could also result in lower net proceeds, which may make
    certain note ratings susceptible to potential negative rating
    actions depending on the extent of the decline in recoveries.
    Fitch conducts sensitivity analyses by stressing both a
    transaction's base-case FF and RR assumptions, and examining
    the rating implications on all classes of notes.

-- The transaction performance may be affected by changes in
    market conditions and economic environment. Weakening economic
    performance is strongly correlated to increasing levels of
    delinquencies and defaults that could reduce CE available to
    the notes.

-- Also, Fitch considers a more severe downside coronavirus
    scenario for sensitivity purposes. This new scenario explores
    how a more prolonged, draconian set of stresses could evolve.
    A re-emergence of infections in the major economies prolongs
    the confidence shock, preventing a recovery in financial
    markets and provoking a longer-lasting, negative wealth shock
    that depresses consumer demand and sparks expectations for a
    widespread, multi-year deflationary spiral. Following these
    guidelines, Fitch has established an increment of 15% to the
    WAFF and a decrease of 15% to the WARR. The ratings for the
    series A remained at the same level.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.

USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10

Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.

DATA ADEQUACY

Historical vintage data on Banco Pichincha's mortgage portfolio was
provided to Fitch. Also, the agency was provided with detailed
information on recovery levels, delinquency migration/transition
matrices and prepayments. These historical data were prepared by
Banco Pichincha.

Fitch was also provided with information on a loan-by-loan basis;
the data delivered were of good quality.

Fitch conducted a review of a small targeted sample of Banco
Pichincha's origination files and found the information contained
in the reviewed files to be adequately consistent with the
originator's policies and practices and the other information
provided to the agency about the asset portfolio.

The data used in the development of the ratings were reviewed by
Fitch and are considered sufficient for the ratings to be
assigned.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.




=========
H A I T I
=========

[*] HAITI: FATF Puts Country on Money Laundering Watch List
-----------------------------------------------------------
Jamaica Observer reports that Haiti was on placed on a grey list of
countries under increased monitoring to counter money laundering
and terrorist financing.

The other countries are Malta, the Philippines, and South Sudan.

The Financial Action Task Force (FATF), an international
organisation that coordinates global efforts to crack down on money
laundering and terrorism financing, said they are working with
nations on the list to correct deficiencies in their financial
systems, according to Jamaica Observer.

The additions bring to 22 the number of countries currently under
increased monitoring by the intergovernmental watchdog, which was
created in 1989, the report notes.

When the FATF places a jurisdiction under heightened surveillance
it means that the country is committed to quickly resolving the
"strategic shortcomings identified within the time list and may be
subject to additional controls", said a statement from the FATF,
the report relays.

With the addition of these four countries, Malta becomes the only
European nation on the list that is usually dominated by African
and Central American and Caribbean countries, the report
discloses.




=======
P E R U
=======

TERMINALES PORTUARIOS: S&P Alters Outlook on 'BB+' Rating to Pos.
-----------------------------------------------------------------
S&P Global Ratings, on June 30, 2021, revised its outlook on
Peruvian port operator Terminales Portuarios Euroandinos Paita S.A.
(TPE or the project) to positive from stable and affirmed the debt
rating at 'BB+'.

The positive outlook reflects a potential upgrade in the following
12-18 months if operating and financial performance continues
strengthening in line with S&P's expectations amid a further
consolidation of TPE's business position, with volume levels above
330,000 twenty-foot equivalent units (TEUs) and operating costs
increasing in line with inflation, resulting in DSCRs consistently
close to 2.50x.

The outlook revision mainly reflects S&P's expectations that the
project will maintain a stronger-than-expected operating and
financial performance, leading to annual DSCR close to 2.30x in
2021. If this trend continues, despite the industry's volatility
and the project's small scale, if persistent, it could lead to an
upgrade. Despite a highly volatile 2020, with traffic restrictions
and GDP contractions that dented the demand and production of some
food derivative products, TPE's total volumes handled increased
about 10.8% (year-over-year). This was mainly due to the export
volume growth of about 30% during the second half of the year amid
bumper harvest and the faster recovery of EU's demand for Peru's
agricultural commodities.

S&P expects the favorable trend to continue during 2021 given the
ongoing economic recovery of those countries to which TPE exports,
the programs Peruvian government launched to foster the
agricultural industry--particularly in the Piura region--and the
implementation of expansionary works that will increase TPE's
capacity. Therefore, although at a more conservative pace, S&P
still expects an increase in cargo volumes in 2021 of about 3.5%.
This, combined with rates annually adjusted by U.S. CPI and stable
operating costs, would lead to a minimum and average DSCR of 2.30x
and close to 1.5x, respectively, in 2021 under its-base case
scenario."

Any delay in the completion of expansionary works that will enable
the project to handle more containers or a slower increase in
demand for fruits during 2021 could harm TPE's projected financial
performance. Moreover, S&P believes that any change in the
political landscape or regulatory framework in the country could
also affect TPE's operating and financial performance, which could
trigger a revision of its assumptions.




=====================
P U E R T O   R I C O
=====================

J.J.W. METAL: Taps Intelligence & Investigations as Consultant
--------------------------------------------------------------
J.J.W. Metal Corp. seeks approval from the U.S. Bankruptcy Court
for the District of Puerto Rico to employ Intelligence &
Investigations Group, Inc. as its consultant.

The Debtor needs the assistance of a consultant to testify any
hearings in which Municipio Autonomo de Carolina may be involved,
including its motion to dismiss with prejudice or to convert the
Debtor's case to Chapter 7, and the hearing on the confirmation of
the Debtor's plan of reorganization.

The Debtor has agreed to pay the firm $12,000 for its services.

Roberto Vizcarrondo, president of Intelligence & Investigations
Group, disclosed in a court filing that his firm is a
"disinterested person" as that term is defined in Section 101(14)
of the Bankruptcy Code.

The firm can be reached through:

     Roberto Vizcarrondo
     Intelligence & Investigations Group, Inc.
     P.O. Box 363763
     San Juan, PR 00936-3763
     Telephone: (787) 461-5874
     Facsimile: (787) 239-9304
     Email: roberto.vizcarrondo@aol.com

                   About J.J.W. Metal Corp.

Palmer, P.R.-based J.J.W. Metal Corp. sought protection under
Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 20-04536)
on Nov. 23, 2020. In the petition signed by Jorge Rodriguez
Quinones, president, the Debtor disclosed total assets of
$1,649,341 and total liabilities of $1,750,865.

Judge Edward A. Godoy oversees the case.

The Debtor tapped Charles A. Cuprill, PSC, Law Offices as
bankruptcy counsel, and Gino Negretti Lavergne, Esq., and Frank
Inserni Milam, Esq., as special counsel.  It also tapped the
consulting services of Luis R. Carrasquillo & Co. PSC, Intelligence
& Investigations Group Inc., Risk Assessment & Management (RAM)
Group Inc., Arturo Vazquez Cancel, and ISFPE LLC.



                           *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C.,
USA, Marites O. Claro, Joy A. Agravante, Rousel Elaine T.
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Chapman, Editors.

Copyright 2021.  All rights reserved.  ISSN 1529-2746.

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