Finance

Home page

Finance

Moody's upgrades deposit ratings of Azerbaijan's Bank Technique

13 November 2014 09:34 (UTC +04:00)

Baku - APA-Economics. Moody's Investors Service has upgraded the long-term foreign- and local-currency deposit ratings of Bank Technique OJSC to Caa1 from Caa2 with positive outlook, APA reports quoting Moody’s.

Concurrently, Moody's affirmed the bank's standalone bank financial strength rating (BFSR) of E, which is equivalent to a baseline credit assessment (BCA) of caa2.

The rating action reflects the improvement of Bank Technique's financial profile in terms of asset quality and capitalisation. Bank Technique has exhibited visible progress in recovering problem loans and restoring its capital base, enabling the bank to comply with regulatory capital requirements (specified by the Central Bank of Azerbaijan) and to expand its banking franchise.

Despite the dramatic deposits outflow in 2012, the rating agency believes that Bank Technique's reputation has now recovered, as evidenced by stabilised customer accounts in the period 2013-14.