Fitch upgraded Woori Financial Group (KRX:316140) subsidiary Woori Bank's viability rating to A from A-, while affirming its long-term issuer default rating (IDR) at A with a stable outlook, short-term IDR at F1+, and government support rating at A.

The bank's strong domestic franchise is expected to boost its business profile, while its strong market position and sound underwriting practices are expected to drive strong near-term earnings.

Fitch expects Woori Bank's conservative underwriting, easing macroeconomic pressures, and continued government support to limit asset quality deterioration, while maintaining the operating profit/risk-weighted assets ratio at around 2% over the next two years.

Shares of Woori Financial Group added nearly 1% in recent trade.