Baku, Azerbaijan, Dec. 20
By Abbas Akhundov - Trend:
Fitch Ratings has affirmed the Long-term Issuer Default Rating (IDR) of Pasha Bank (PB) at 'B+' with Stable Outlook, Fitch Ratings reported today.
Long-term foreign-currency IDR: affirmed at 'B+'; Outlook Stable
Short-term foreign-currency IDR: affirmed at 'B'
Viability Rating: affirmed at 'b+'
Support Rating: affirmed at '5'
Support Rating Floor: affirmed at 'No Floor'
The affirmation of PB's ratings reflects current solid financial metrics, reflected in a sizable capital buffer, considerable liquidity cushion (46% of end-1H13 liabilities).
PB's credit profile has also benefited to date from the bank's powerful shareholder in terms of capital injections and access to funding, Fitch Ratings reported.
Reported non-performing loans (NPLs) increased sharply to 28% of loans at end-H113 from 11% at end-2012.
Additional comfort stems from PB's significant loss absorption capacity and adequate pre-impairment profitability.
Pasha Bank was founded in June 2007. It operates under the Azerbaijani Central Bank's license No. 250 dated November 28, 2007.
Pasha Bank is a leading corporate bank in Azerbaijan. The bank, founded in 2007, renders a wide range of corporate banking services, including the issue of loans, transactions on the securities market, asset management and treasury services.
Pasha Bank is included in the Pasha group of companies, which is a large investment holding company in Azerbaijan. It is widely represented in such sectors as insurance, construction, construction material production, tourism and other business areas. Kapital Bank, one of the largest banks on the Azerbaijani retail market, also belongs to the Pasha group of companies.
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