IBI-Rating has affirmed the credit rating of «Ukrgasbank» SB at uaA+ grade

IBI-Rating informs on affirming of the credit rating of «Ukrgasbank» SB at uaA + grade, keeping the «stable» outlook.

The affirmed credit rating grade of «Ukrgasbank»SB is due to its preserving of sufficient ratios of capitalization and liquidity, as well as its support from the state, the main shareholder of the Bank. In addition, when upgrading the credit rating, the Bank strong market positions, diversification of its investments directions and sources of attracted resources, as well as the Bank’s extensive regional network, were taken into account. At the same time, the improved customer loan portfolio by major borrowers was maintained. At the same time, the rating agency IBI-Rating notes the presence of significant amount of the negatively-classified assets, which increase the vulnerability of the Bank to credit risk.

Also, the Bank's vulnerability to certain financial risks increases due to the unstable situation in the country and the current market conditions. By results of 2015 and 1Q 2016, activities of «Ukrgasbank» SB were profitable including by the Bank’s dissolving of a significant amount of reserves.

IBI-Rating currently sees no factors that may lead to increasing of the grade of the Bank’s credit rating in the short term. Lowering of the credit rating grade is possible in the event of worsening of the Bank’s solvency (liquidity), increased credit risks due to deterioration of servicing of the granted loans, increased vulnerability of the Bank to market risks, decline in performance indicators and loss-making operations, as well as deterioration of the political and economic situation in the country.

In order to conduct the analytical research the materials provided by «Ukrgasbank» SB have been used, including: annual financial statements for 2013–2015 and 3 months of 2016, target performance indicators, other necessary internal information, as well as the information from the public sources, which the Rating agency considers credible.

Finance department
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