Moody's Investors Service changed to positive from stable the outlook on the following global scale ratings of International Bank of Azerbaijan: long-term local- and foreign-currency deposit ratings of Ba3, long-term foreign-currency senior unsecured debt rating of Ba3, and long-term foreign-currency subordinated debt rating of B1.
Concurrently, Moody's affirmed all existing ratings. The bank's standalone E+ bank financial strength rating (BFSR), mapping to a baseline credit assessment of b3 remains on stable outlook Moody's rating action is largely based on International Bank of Azerbaijan's audited financial statements for 2013, prepared under IFRS.
The outlook change to positive from stable is driven by International Bank of Azerbaijan's continued progress in strengthening its standalone credit profile and Moody's expectation that the banks financial indicators will remain on a sustainable trend over the next 12-18 months.
The rating action reflects the bank's improved asset quality indicators; strengthened capital base; At the same time, the ratings remain constrained by very high concentration levels in the bank's loan book, its still relatively low core capital level and moderate profitability.
Bakudaily.az
