Eldik Bank is the first state bank of the Kyrgyz Republic to receive a credit rating from Fitch Ratings
Eldik Bank OJSC became the first and the only state-owned bank of the Kyrgyz Republic to receive a long-term issuer default rating in local and foreign currency from the international rating agency Fitch Ratings at the level of B- with a stable outlook, confirming its reliability and stability at the international level.
A credit rating is an assessment of an organization's creditworthiness. It helps to understand how reliable and safe it is to trust a company with your money. Its assignment takes into account not only the current financial position of the organization, the amount of capital, but also the entire previous history. It also takes into account the forecast data of the company's development.
- Obtaining a credit rating means that Eldik Bank fulfills all its financial obligations on time and in full. This is the first step in the bank's entry into international debt and equity capital markets,” said Ulanbek Nogaev, Chairman of the Board. - At the same time, it should be noted that the Kyrgyz Republic is on its way to obtain a sovereign credit rating from Fitch Ratings, with an in-depth analysis of public finances. An upgrade of the sovereign credit rating will also mean an upgrade of Eldik Bank's credit rating.
According to the agency's assessment, the bank has a strong brand and corporate focus. “Eldik Bank is a systemically important bank, and its state ownership stipulates close relations with the country's government and contributes to deposit growth. The bank is focused on corporate and SME clients, but is also developing the retail segment,” Fitch explained.
In addition, the rating letter points to the bank's high level of operating profitability, growth in the profit-to-asset ratio, and an increase in the deposit base - more than doubling since 2021.
The agency notes a solid liquidity buffer, as evidenced by a 62% customer loan-to-deposit ratio at year-end 2023.
Fitch Ratings Inc. - is a U.S. corporation known primarily as a credit rating agency. Along with Standard & Poor's and Moody's, it is one of the “Big Three” international rating agencies.
