01.12.08Fitch Ratings Revised Rating Forecast for 11 Ukrainian Banks
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Fitch Ratings international ratings agency has downgraded from “stable” to “negative” rating forecast for 11 Ukrainian banks, including VAB Bank. Back in October, Fitch Ratings downgraded issuer default ratings (IRDs) and support ratings of 10 Ukrainian banks, maintaining the “negative forecast” in line with the revision of Ukraine’s sovereign ratings. Now all Ukrainian banks rated by Fitch Ratings have negative forecast. This ratings action has been caused by abrupt downfall of the national currency exchange rate and the growing concerns of Fitch Ratings regarding credit capacity of Ukrainian banks. Inter alia, in Fitch Ratings’ opinion, there’s a likelihood of deposits outflow against the backdrop of depositors’ tendency to convert hrivnia into US dollars, as well as a possibility of asset quality and capital adequacy deterioration. “In current situation such change of rating forecast reflects not the internal situation of the bank but rather macroeconomic trends in Ukraine and risks of the banking system in general,” said Lukas Reference dataVseukrainsky Aksionerny Bank (VAB Bank) has been operating in the Ukrainian financial market since 1992 and belongs to the group large banks in Ukraine according to NBU. In October 2006, VAB Bank became a member of VAB Group. Branch network consists of 25 branches and 143 outlets throughout Ukraine and a representative office in Budapest (Hungary). A large international company, TBIF Financial Services (Amsterdam, the Netherlands), is among the bank’s shareholders. Total assets of VAB Bank amounted to UAH 6.7 billion as of 01 July 2008.All news |
