print
04.04.2006
“uaBBB” credit rating assigned to JSB Pivdenny (Odesa)
Today independent rating agency Credit-Rating announced the granting of a long-term credit rating uaBBB+ according to Ukrainian national scale to JSB Pivdenny (Odesa).
Factors supporting the credit rating's level:
- Over the past 5 years the bank showed high growth rates: the increase of the companys assets over the period was 318%; owned capital 448%; the bank managed to avoid considerable imbalances characteristic of the banks with rapid growth strategy;
- Development of market and infrastructure performance in 2001-2005: the client base (number of clients grew 5.7 times), electronic funds transfer (in particular at the beginning of the year the bank served 457 POS which allows receiving large commission charges), regional infrastructure (up to 78 operating outlets);
- Sufficient supply with owned capital tending to increase: over the past 5 years the index of owned capital supply increased from 11.6% to 12.8%;
- Good client diversification of credit portfolio and resource base;
- Well-established operation with payment cards which in the long run can secure the bank with rather stable and cheap resources: at the beginning of 2006 the amount of average balance on one payment card exceeded UAH 1.3 thousand.
Factors restricting the credit rating's level :
- Low liquidity showings: at the beginning of the current year the banks fast liquidity index was 15.7% which is 11% less than average in Ukrainian banking system;
- Certain gaps between fundraising and investment terms;
- Low branch diversification of credit portfolio.
Should you need more detailed information, please contact us.
Kyiv (+38044 490 25 50, fax +38044 490 25 54)
