ArmInfo. Improving Outlook on CJSC Ameriabank's Long-term Issuer Default Rating (IDR) to Stable from Negative by Fitch Ratings by no means is related to the agreement with DEG on attracting 20 mln USD for SME lending. These two recent events in the bank's history took place in parallel, Financial Director of Ameriabank Gevorg Tarumyan said in a talk with ArmInfo's correspondent.
"We were working towards signing an agreement with DEG for three months. Both events certainly demonstrate positive trends for achieving tangible results in future", Tarumyan added.
He recalled that Ameriabank signed a 20 mln USD loan agreement with DEG European financial organization on May 12 in London. At the same time during a short while ago Fitch Ratings has revised the Outlook on CJSC Ameriabank's Long-term Issuer Default Rating (IDR) to Stable from Negative, while affirming the IDR at 'B+'. The affirmation of the bank's IDR, which is driven by its 'b+' Viability Rating (VR), reflects the bank's reasonable financial metrics, albeit under moderate pressure from a challenging operating environment. The revision of the Outlook on Ameria's ratings to Stable reflects Fitch's expectation that the bank is likely to remain resilient to pressures from the difficult operating environment, as reflected by only moderate deterioration of its asset quality and sound collateral coverage of problem loans. The bank also has a fairly strong ability to absorb impairment through earnings and improved capital buffer following the USD30m equity injection in December 2015.
To recall, Ameriabank retains leadership in such key financial parameters as assets, lending, corporate financing, general obligations, lending, investment in securities, and payables to the customers. In addition, the Bank is confidently advancing to leading positions in terms of net profit, total capital, authorized capital, interest and non- interest incomes. Efficient lending helped the bank increase profits. As an absolute leader in the market by assets, loans, liabilities and deposits, Ameriabank provides full- fledged solutions in corporate, retail and investment banking. Having multiple excellency awards by Euromoney (2014, 2012, 2011), Global Finance (2015, 2012, 201 3), The Banker/FT (2015, 2013, 2010), Ameriabank is committed to invest in cutting-edge technologies and unparalleled customer service. With EBRD entering its capital, Ameriabank will become the leader by total and statutory capitals too. So far, before the EBRD's investments are registered, the bank's shareholder is Ameria Group CY Ltd - 100%.
To note, DEG is a wholly owned subsidiary of KfW Group. The mission of DEG is to promote business initiative in developing and emerging market countries as a contribution to sustainable growth and improved living conditions of the local population.