Cistran Finance Exploring the Spirit of Capitalism's New Frontier

Sunday, November 19, 2017

Fitch affirms Gazprombank's long-term issuer default ratings at "BBB-"

Fitch Ratings recently affirmed Gazprombank's long-term issuer default ratings at investment grade "BBB-" with a stable outlook.

Fitch said that Gazprombank's rating reflects the agency's view of the high probability that support for the bank would be forthcoming, if needed, from the Russian Federation or state-controlled entities, in particular the bank's founder and major shareholder, OAO Gazprom.

Fitch also said that Gazprombank's "bb" viability rating reflects the banks prominent market position and generally low risk lending business focused on larger and stronger Russian corporations and secured retail products as well as its comfortable liquidity situation.

The agency also confirmed the ratings of Gazprombank (Switzerland) Ltd. at "BBB-" with a stable outlook, reflecting Fitch's view of the high probability that the bank would support the subsidiary if needed.

Gazprombank is the third largest bank in the Russian Federation. Its principal business areas are corporate banking, retail banking, investment banking and depositary services.