Monday, August 6 2018 21:13
Karine Melikyan

Moody`s awarded Ameriabank a "B1" credit rating with a "Positive"  forecast

Moody`s awarded Ameriabank a "B1" credit rating with a "Positive"  forecast

ArmInfo. The international rating agency Moody's assigned Ameriabank a "B1" credit rating for long-term deposits in the national currency with a positive outlook, B2 for  long-term foreign currency deposits with a stable outlook, and Ba3 for long-term counterparty risk.

The rating assigned to the bank's deposits reflects: directions for  diversifying the bank's business and strong positions in the local  market; Improved asset quality and the ability to absorb possible  losses due to a sufficient buffer of capital, high profitability, and  the availability of the necessary reserves to cover possible losses  from problem loans; sufficient level of liquidity and diversification  of sources of attracted funds. At the same time, the bank's credit  rating is limited by macroeconomic indicators of Armenia and a  significant share of foreign currency loans.

When assigning the above ratings to Ameriabank, Moody's took into  account a number of important indicators. In particular, the loan  portfolio of the bank reduced the share of non-performing loans - up  to 3.9% by April 1, 2018, from 4.1% in 2017, and the coverage ratio  of problem loans in the first quarter of this year. 87% against 57%  at the end of 2017. At the same time, the share of foreign currency  loans at the end of 2017 was high - 82%, which increases the  sensitivity of asset quality to fluctuations in the exchange rate.  But on the other hand, most of these borrowers are exporters that  provide foreign exchange earnings, which in part mitigates the risk  from exchange rate fluctuations.

Moody's also attached importance to the factor that Ameriabank has  diversified share capital, which, if necessary, ensures the  attraction of additional capital. In particular, thanks to the  investments of the Asian Development Bank, the total capital of  Ameriabank increased by $ 30 million in 2018. Ameriabank's capital  adequacy ratio for the first quarter of 2018 was 14.05% (at the  required 12% for the Central Bank of Armenia), and for Basel1 - about  19 %. In the first quarter of 2018, the bank's net profit amounted to  2.56 billion drams, with an annual growth rate of 56%. As a result,  the return on assets was 1.5%, and the return on equity was 13.4%.

To recall, Ameriabank is a dynamically developing bank in Armenia,  one of the largest and most stable financial institutions of the  country. Today Ameriabank is a universal bank that provides a full  package of corporate, investment and retail banking services, and the  leader of the banking sector of Armenia in all key indicators  (assets, liabilities, loan portfolio, net profit and capital). The  bank has been operating in the Armenian market since October 31,  1996. Ameriabank's shareholders are Ameria Group CY Ltd.  - 56.6%,  EBRD - 17.8%, Asian Development Bank - 13.9% and ESPS Holding Limited  - 11.7%.  Distinctive awards: from Euromoney (2017, 2016, 2014, 2012,  2011), from Global Finance (2017, 2016, 2015, 2013, 2012), from The  Banker / FT (2017, 2016, 2015, 2013, 2010), from Commerzbank has been  awarded the "STP-Award" award since 2008. 

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Government Bonds

Issue volume

10 billion

Volume of T-bills for placement

200 million

Volume of submitted competitive applications

200 million

Volume of satisfied bids

200 million

Yield at cut-off price

 5.8314%

Maximum yield

 5.8314%

Мinimum yield

 5.8314%

Weighted average yield

 5.8314%

Number of participants

2

The maturity date of T-bills

03.02.2020

ArmEx

 

СПРОС (Покупка)

USD

Средневзв. Цена

482,00

ПРЕДЛОЖЕНИЕ (Продажа)

  USD

Средневзв. Цена

-

СДЕЛКИ

USD

Цена откр.

482,00

Цена закр.

482,00

Мин. Цена

482,00

Макс. Цена

482,00

Ср/взв. Цена

482,00

-0.16

Кол-во сделок

1

Объем (инвал.)

200 000

0бъем (драм)

96 400 000