IBA-Moscow's national scale upgraded
Moody's Interfax Rating Agency has upgraded national scale rating (NSR) of IBA-Moscow- a subsidiary of International Bank of Azerbaijan in Russia - to Baa2.ru from Baa3.ru.
Moody's Investors Service also changed the outlook rating of Bank IBA-Moscow on the international scale from B3 'Stable' to B3 'Positive', AzerTag state news agency reported.
Moody's Interfax rating action is primarily based on IBA-Moscow's audited financial statements for 2013, prepared under IFRS.
Moody's pointed out that in July 2014 IBA OJSC made an additional contribution to the authorized capital of Bank IBA-Moscow in the amount of 1.25 billion rubles.
"This event is the most important over the last five years. It was also underlined that in recent years, the Bank has improved asset quality, reduced much its dependence on the parent bank's funding through the issuance of its own bonds, and its main strategy is now to continue diversifying sources of funding," the agency noted.
Bank IBA-Moscow's chairman of board Fuad Abdullayev said that despite the difficult economic situation, as a result of which there is a tendency to reduction of credit institutions' financial performance, Bank IBA-Moscow, thanks to balanced and effective credit policy, managed not only to maintain its position in the financial markets, but also to strengthen it.
"We're confident that the increase in IBA-Moscow's rating will contribute to the further development of the bank and increase of the volume of business," Abdullayev noted.