ArmInfo. Moody's international rating agency upgraded the long- term rating of bank deposits in foreign currency of VTB Bank (Armenia) from "B2" to "B1", maintaining the forecast "Stable". ArmInfo was informed about this in the press service of the bank.
According to the source, Moody's also confirmed the baseline credit assessment (BCAs) of VTB Bank (Armenia) at level b3. The bank's statement reads: "Moody's agency notes that the confirmation of BCA is related to the sufficient liquidity level of VTB Bank (Armenia) and the high probability of support from the parent bank VTB Bank PJSC.
The press service of VTB Bank (Armenia) emphasizes that the assignment of a new rating to the bank followed an increase in the sovereign rating of Armenia from "B1" with a "Positive" outlook to "Ba3" with a "Stable" outlook on August 27, 2019, and an improvement of rating in country's bank deposits in foreign currency from "B2" to "B1".
According to the Financial Rating of the Banks of Armenia as of June 30, 2019 prepared by ArmInfo IC, the assets of VTB Bank (Armenia) amounted to $ 623.7 million (an increase of 28.8% y-o-y), credit investments - $ 462.9 million (an increase of 25.3% y-o-y), total capital - $ 105.2 million (an increase of 29.9% y-o-y), total liabilities - $ 518.5 million (an increase of 28.6% y-o-y). The bank completed the first half of 2019 with a net profit of $ 0.998 million. In the structure of assets, the share of credit investments accounted for 74.2%, the dominant volume being retail loans - $ 318 million or 68.7% of the bank's loan portfolio. In the corporate loan portfolio of the bank, active placement is observed in the SME and retail sectors. And in the general liabilities of the bank time deposits dominate - 47.2% or $ 244.5 million (with y-o-y growth of 30.5%), of which 80% or $ 195.9 million are deposits of individuals.
It should be noted that VTB Bank (Armenia) CJSC became a member of VTB International Financial Group in April 2004. Currently, the second largest VTB Bank in Russia (PJSC) owns 100% of the shares of VTB Bank (Armenia). The Bank traditionally ranks among the leaders of the banking system of the Republic of Armenia by its main indicators. In terms of coverage of the branch network, VTB Bank (Armenia) maintains leadership, both in terms of their total number and regional divisions.