foir print

16.09.2008

New rating assigned to Center-invest Bank: increased reliability means further growth for Center-invest's customers

On 16 September the independent national ratings agency RusRating raised Center-invest Bank's credit rating from 'BB+' outlook stable to 'BBB-' outlook stable.

Experts from the agency said the higher rating was justified by the stability of Center-invest's financial indicators, the good quality of its management, the positive influence that its shareholders have on the bank, its systematic approach to implementing its agreed strategy, the support it receives from international financial institutions.

The ‘BBB-‘ rating (the RusRating scale) indicates a relatively high degree of creditworthiness and a financial condition that is considered sustainable and stable in the medium term. Large Russian banks such as VTB-24, Promsvyazbank, and Nomos-Bank are also rated BBB-.

Other factors contributing to the new rating were that for each of its business activities Center-invest has achieved the leading position among regional banks in the Southern Federal District; it has maintained the good quality of its assets and its profitability level; it is actively developing its regional network; and it is also expanding its large loan programmes, including its lending to the agricultural sector.

“Our successful borrowing on the Russian and international capital markets has helped raise our rating,” says chairman of Center-invest's Board of Directors, Professor Vasily Vysokov (Doctor of Economics). “We have attracted $190m in international syndicated loans; $50m in subordinated loans from the EBRD and KfW; a ?12m credit line from KfW for financing energy efficiency projects; and a RUR600m credit line from the EBRD for developing the agricultural sector. One of Europe's oldest savings banks, Erste Group (Austria), recently become a Center-invest shareholder, and this, together with our successful cooperation with international financial institutions, means that our business and our customers' businesses will continue to develop sustainably.”