ArmInfo. S&P Global Ratings maintained Ameriabank's credit rating, leaving the forecast unchanged. As ArmInfo was informed in the press service of the bank, the long- and short-term credit rating of the issuer represented by Ameriabank was kept at "B + / B" with the forecast "Stable". It is worth noting that to this day, S&P has not assigned a country rating to Armenia.
S&P Global Ratings believes that the credit rating of the sovereign government of Armenia limits the level of bank ratings. As a result, the long-term "B +" credit rating of Ameriabank is one step lower than the "bb- " stand-alone credit profile (SACP) rating, and is limited by the sovereign country rating of Armenia.
S&P maintained its rating and forecast for Ameriabank based on the following criteria: sufficient liquidity, balanced risk management policy, degree of brand recognition of the bank. All this together will allow the bank to withstand the impact of the expected global economic downturn due to the COVID-19 pandemic. S&P notes that as of March 31, 2020, Ameriabank's share in the total assets of the banking system amounted to 15.5% (or 910.7 billion drams ($ 1.8 billion - 1st position), with an annual growth of 17.4% - Ed.). According to S&P's expectations, in 2021 Ameriabank's capitalization level will increase due to new investments in capital, and the bank will be able to maintain a stable base of individuals and legal entities and a high level of liquidity.
According to the Financial Rating of the Banks of Armenia as of December 31, 2019, prepared by IC ArmInfo, Ameriabank continues to lead in the main financial indicators. The bank's assets amounted to 968.1 billion drams ($ 2.02 billion, first position), credit investments - 579.6 billion drams ($ 1.2 billion, first position), investments in securities - 77.3 billion drams ($ 161.1 million, first position). About 74% of the bank's loan portfolio is corporate lending, and a little more than 26% - at retail. In the bank's corporate loan portfolio, the largest share of loans (20.1-20.4%) is concentrated in the industrial sector and trade. In terms of general obligations, the bank also maintains leadership - 866.9 billion drams or $ 1.8 billion, in the structure of which liabilities to customers (term deposits and demand deposits) amounted to 68.4% or 593.2 billion drams ($ 1.2 billion, 1st position), funds attracted from international financial institutions - 22.1 % or 191.5 billion drams ($ 399.2 million, 1st position).
By the volume of liabilities on demand of legal entities, the bank takes the 1st position, and by the volume of term deposits of individuals - the 2nd. The total capital of the Bank amounted to 101.2 billion drams or $ 211 million as of this date, and the regulatory total capital - 115.2 billion drams. Ameriabank completed the year 2019 with a net profit of 12.1 billion drams or $ 25.3 million (1st position). The Bank ensured the standard of capital adequacy ratio at the level of 14.74% (with the required min 12%), the general liquidity - 27.85% (with the required min 15%), the current liquidity - 94.46% (with the required min 60%).
It should be noted that Ameriabank, which has been operating in the Armenian market since October 31, 1996, is a dynamically developing bank of Armenia, one of the largest and most stable financial institutions in the country. Today Ameriabank is a universal bank providing a full package of corporate, investment and retail banking services, and a leader in the banking sector of Armenia in all key indicators (assets, liabilities, loan portfolio, net profit and capital). The Bank has repeatedly received international financial awards from Euromoney, Global Finance, The Banker / FT, IFC, and from 2008 Commerzbank has been awarded the STP-Award annually. The shareholders of Ameriabank on April 1, 2020 are Ameria Group CY Ltd. - 56.6%, EBRD - 17.8%, Asian Development Bank - 13.98%, ESPS Holding Limited - 11.62%. Ameriabank is the only financial institution in Armenia that has a S&P credit rating (B +, with a stable outlook). In May 2020, Moody's kept Ameriabank's credit rating at Ba3 with a Stable outlook, expecting that, despite the difficult situation due to the coronavirus pandemic, the bank's financial resources and liquidity indicators will remain stable.