ACRA has affirmed Credit Bank of Moscow rating at A+(RU), stable outlook

On October 25th, 2024, Analytical Credit Rating Agency (hereinafter referred as “ACRA“ or “the agency“) affirmed its credit rating on Credit Bank of Moscow (hereinafter referred as “MKB” or “the Bank”) at “A+(RU)” with a “Stable” outlook.

The credit rating reflects stable standalone creditworthiness assessment (SCA) of the Bank, which is based on the adequate assessments of business profile, capital adequacy, and funding and liquidity, and the satisfactory risk profile. The credit rating also includes two upward notches to the SCA for the potential external support from the government given the systemic importance of CBM.

According to ACRA, MKB holds a strong market position among the largest Russian banks, representation in the main regions of the country, and has close partnerships with large Russian corporations from leading sectors of the economy.

In assessing the risk profile, the agency notes a decrease in the share of nonperforming and potentially non-performing loans, and stabilization of lending dynamics in 2024. Analysts believe that moderate rates of lending growth will contribute to a smooth restoration of the Bank’s capital adequacy.

In terms of funding and liquidity, the agency emphasizes the stability of the Bank's resource base and assumes the current comfortable liquidity cushion will be retained for the next 12-18 months.

Full release is available at https://www.acra-ratings.ru/press-releases/5198/?lang=en