Fitch agency: Azerbaijan International Bank's bad loans should be sold

Baku. 10 August. REPORT.AZ/ Fitch international rating agency announced the basic conditions to increase the rating of the International Bank of Azerbaijan (IBA). According to the conditions, after the successful sale of the bank's bad loans, "Fitch" can increase the bank's "Issuer Default Rating" from "BB" to "BB +" level, while "Viability Rating" from "b-" to "b" or "b+" in foreign currency,

Report informs referring to the agency. If the government refuses to buy the bank's bad loans or retains bad loans in a certain amount at the bank, the issue of raising of the bank's rating will be removed from the agenda.

"Fitch" does not expect any difficulty in connection with the sale of bad loans.

In the agency's today announcement, Fitch placed International Bank of Azerbaijan's (IBA) Long-term foreign currency Issuer Default Rating (IDR) and Viability Rating (VR) on Rating Watch Positive (RWP. It shows the bank's financial rehabilitation.

"Fitch" agency supported the decision on releasing IBA from bad loans up to end-2015 in the framework of the privatization program.