Fitch revised its outlook for AAA mortgage-backed covered bonds issued by Belfius Bank from stable to negative on Friday, reflecting a similar action on the Belgian bank’s A- issuer default rating on Wednesday.

The rating agency said that the revision to the outlook for the mortgage pandbrieven also reflected its view that a current issuer default rating (IDR) uplift of 1 assigned to the programme under recently updated criteria may not be sufficient to entirely compensate a downgrade of Belfius’s IDR.

Fitch said it assigns an uplift of 1 based on the bank’s large size in its domestic market. The programme has a Discontinuity-Cap (D-Cap) of 4.

The AAA ratings of covered bonds issued by ING Belgium and KBC Bank were affirmed, with stable outlooks, at the same time.