IBI-Rating has affirmed the credit rating of «BANK SICH» PJSC at uaA– grade

IBI-Rating informs on affirming of the credit rating of «BANK SICH» PJSC at uaA- with a «stable» outlook.

«BANK SICH» PJSC has been operating in the financial market since 2011 and currently is in the group of banks with private capital, as per criteria for allocating banks to groups in 2017. Beneficiary owners of the banking institution are 2 private individuals (citizens of Ukraine). Guided by the strategy of active development, during 2016 and Q1 of the current year, the Bank has built up its own presence in the market by expanding its regional network from 30 divisions (in 5 oblasts of the country) to 59 operating branches (in 11 oblasts). Net income of the institution for Q1 2017 amounted to UAH 309thou (by results of 2016, it amounted to UAH 816thou).

The affirmed credit rating of «BANK SICH» PJSC is due its acceptable liquidity ratios, as well as sufficient capitalization ratios while retaining the support from its owners (at present, the process of registering an increase in the authorized capital by the amount of almost UAH 72m is ongoing.). In addition, a positive impact on the rating grade had the improved market positions of the banking institution by expanding its territorial presence and the increased number of customers. At the same time, the concentration of the loan portfolio and the deposit base of the Bank by major customers remains significant, which increases sensitivity of «BANK SICH» PJSC to liquidity risk. Also, the rating of the banking institution is influenced by preservation of the difficult situation in the economy limiting the financial capacity of the population and enterprises of the real sector and adversely affecting the level of confidence in banking institutions.

In order to conduct the analytical research the materials provided by «BANK SICH» PJSC have been used, including: annual financial statements for 2014-2016 and 3 months of 2017, target performance indicators, other necessary internal information, as well as the information from the public sources, which the Rating agency considers credible.