Moody’s has upgraded AK BARS Bank’s (ABB) Long-term local- and foreign-currency deposit ratings to B1 from B2. Concurrently, ABB’s standalone bank financial strength rating was upgraded to E+ from E. The outlook on both ratings is stable.
The key factor contributing to Moody’s positive revision became the significant decrease in non-core banking assets lessening the pressure on its capitalisation. The bank’s standalone credit strength is underpinned by its strong commercial franchise in the Republic of Tatarstan and the bank’s adequate branch network coverage in the region.
At the same time, having still high risk appetite, according to Moody’s, the bank decreased its exposure to equities.
Moody’s Interfax Interfax Investors Service has also upgraded national scale rating (NSR) of AK BARS Bank to A2.ru. from A3.ru The NSRs carry no specific outlooks.
Taking into account rating agency’s recommendations, AK BARS Bank continues working on the development of its positive perspective trends.