International Rating Agency Moody’s Investor Service Following the next assessment confirmed Kapital Bank rating. This rating is one of the highest among Azerbaijani banks.
Agency confirmed the long-term rating of deposits in foreign and national currency at the BA3 level, and the credit rating (BCA) is at the level “B1”. The Forecast on the rating of Kapital Bank rose from the “negative” to “positive”.
The agency report states that this change reflects the expected increase in the quality of the bank’s credit portfolio in the next 12-18 months.
“Confirmation of the basic credit rating (BCA) of the bank at the level” B1 “, as well as a long-term rating of deposits in foreign and national currency at the level of” BA3 “is an indicator of a healthy loan portfolio, a high level of net profit and capital adequacy. At the end 2020 The share of problem loans in the general loan portfolio was only 3.3% (at the end of 2019 – 4.6%). Strong capitalization with a TCE / RWA indicator of 22.3% as of the end of 2020 and high yield allow the Bank to absorb Expected losses and, as in previous years, to pay dividends in a timely manner, “the report says.
In his message, Moody’s also notes that for several years, the Kapital Bank loan portfolio was better compared to competitors.