ArmInfo. S&P Global Ratings revised the outlook on Ameriabank to stable from negative and affirmed 'B+/B' long- and short-term issuer credit rating on the bank. B+' long-term rating on Ameriabank is one notch lower than its stand-alone credit profile (SACP) rated "bb-", due to the sovereign's creditworthiness constraint, the press service of Ameriabank told ArmInfo.
The revision of the outlook on Ameriabank follows some stabilization of the macroeconomic and banking environment in Armenia in 2021. S&P expects Armenia's real GDP to expand by 2.5% in 2021 and 4.5% in 2022-2023.
S&P believes that Ameriabank is well positioned to retain its leading market positions in Armenia due to recovering macroeconomic environment and the bank's strong domestic brand, professional management team, advanced digitalization strategy and adequate corporate governance.
The stable outlook reflects S&P's expectation that the bank's sufficient liquidity, prudent risk management, and strong local brand will enable it to remain resilient to further potential challenges.
According to S&P estimates, real GDP growth in Armenia will be 2.5% in 2021, with an acceleration in 2022-2023 to 4.5%. According to the Financial Rating of Banks of Armenia as of March 31, 2021, prepared by ArmInfo IC, Ameriabank is the leader in the Armenian banking sector in terms of key financial indicators (assets, liabilities, loan portfolio, capital, profit). Thus, Ameriabank's assets reached $ 1.9 billion (with an annual growth of 11%), the volume of loan investments - $ 1.3 billion (with an annual growth of 13.2%), total liabilities - $ 1.7 billion (with an annual growth of 11.2%), the total capital - $ 214.3 million (with an annual growth of 9.2%). Ameriabank ended the first quarter of 2021 with a net profit of $ 7.5 million (with an annual growth of 33%), taking the 1st position in this indicator as well. To note, Ameriabank is a dynamically developing bank, one of the most stable and large financial institutions in Armenia. Ameriabank is a universal bank providing corporate, investment and retail services within a comprehensive package of banking solutions. Ameriabank is the only financial institution in Armenia that has a long- and short-term credit rating of the issuer from S&P (retained in June 2021 at B + / B level, "Stable" outlook).