Fitch improved the Outlook on the ratings on 23 financial institutions of the Russian Federation to positive
International rating Agency Fitch Ratings improved the Outlook on ratings of 23 Russian financial institutions including SberbankSBER, VEB, Rosselkhozbank and Gazprombank, to “positive” from “stable,” according to a release from the Agency.
The Agency, in particular, has improved the Outlook on the ratings of National clearing center (NCC), 10 Russian “daughters” foreign banks and several subsidiary banks of Russian companies operating in other countries. The Agency also affirmed long-term Issuer default rating (IDR) of these institutions at the relevant levels.
Among banks operating in Russia and the forecast which has been revised, Bank of China, China Construction Bank, Citibank AO, AO Credit Agricole CIB, Danske Bank, HSBC Bank (RR), ING Bank (Eurasia), Nordea Bank, SEB Bank, DeltaCredit Bank, Rusfinance Bank and Rosbank. The Agency also forecasts improved some “daughters” of the savings Bank, Gazprombank and VEB in Europe and Kazakhstan.Fitch believes that it is “very likely” increase of a rating of Russia
Prognosis all those Finance companies associated with a similar improvement in the forecast on ratings of the Russian Federation on September 22. The Agency also believes that the likelihood of providing financial support to the Russian authorities, four state-owned banks has increased.
Fitch also notes the increased probability of upgrading the rating of the Russian Federation, which now has a “BBB-“, in connection with the improvement of the forecast. Therefore, the Agency also predicted an increase in IDR NCC, which is tied to the rating of sustainability of the centre (currently at bbb), depending on the rating of the Russian Federation.