PRIME. International rating agency Standard & Poor’s bestowed on Rusfinance Bank (a 100% subsidiary of Rosbank) a long-term counterparty credit rating of BBB-, a stable outlook, the agency said in a press release.
In addition, S&P assigned to the bank a short-term credit rating of A-3 and a national scale rating of ruAA-.
The agency pointed out that the bank’s ratings take into account heightened economic and industry risks, and also reflect “moderate” business position of the bank and the risk position, extremely high positions in terms of capital and profit, below-average funding and the adequate level of liquidity.
The stable outlook reflects the agency’s expectations that Rusfinance Bank will stick to its strategy to hold leadership positions on the auto lending market and retain, in the meantime, its satisfactory financial profile," S&P analysts added.
A positive rating action in the next 12 months is unlikely, but this could happen if the bank substantially improves the asset quality and its position under bad loans in the long term. The bank’s ratings could be downgraded if its capitalization drops.
Rosbank is the sole participant of Rusfinance Bank. And both banks, in turn, are part of Societe Generale Group, one of the largest financial groups in the Eurozone. Rusfinance Bank specializes in consumer lending.
