The rating is supported by the guarantee of the German Federal State of Baden-Württemberg (AAA/Stable) for L-Bank's existing and future obligations with respect to money borrowed, bonds issued, and derivative transactions entered into by the bank.

Disinflation and reserve accumulation drive the upgrade. High inflation and sustained external and financial stability vulnerabilities remain key challenges.

The period review has resulted in no rating action.

Declining public debt, improved banking-system resilience and stronger trend growth drive the upgrade. Still-elevated government debt and structural economic weaknesses remain credit constraints.

The periodic review has resulted in no rating action.

Strong budgetary performance, robust access to financial markets, and a wealthy, diversified economy support the rating. High, though declining debt burden and limited budgetary flexibility are constraints.

The period review has resulted in no rating action.

Strong integration with its owning counties, high strategic importance in regional development, a strong market position, and resilient toll revenue are strengths. High leverage and significant capital expenditure are challenges.

Significant progress in reducing public debt, a strong track record of prudent fiscal policy, and enhanced economic resilience drive the upgrade. Still high public debt, a limited growth potential, and external vulnerabilities are credit constraints.

The periodic review has resulted in no rating action.