Moody’s approves new rating of International Bank of Azerbaijan

Baku. 7 February. REPORT.AZ/ Moody's Investors Service has downgraded the following ratings of International Bank of Azerbaijan (IBA): long-term local- and foreign-currency deposit rating to B1 from Ba3, senior unsecured debt rating to B1 from Ba3, and long-term subordinated debt rating to B2 from B1.

Report informs referring to Moody’s, concurrently, the agency has also downgraded the bank's standalone Baseline Credit Assessment (BCA) to ca from b3, and the Counterparty Risk Assessment (CRA) to Ba3 from Ba2. The outlook on the long-term deposit and senior unsecured ratings is negative.

As a rationale of its assessment the Moody’s notes uncertainty concerning state support to the bank and alignment with standalone rating of Azerbaijan. The agency expresses concern on possible incapacity of the government for timely and full financial support.