...Parent Support Drives IDRs: ProCredit Bank ad Beograd's (PCBS) Issuer Default Ratings (IDRs) and Support Rating reflect the likelihood of support from its parent, ProCredit Holding AG & Co. KGaA (PCH; BBB/Stable). This is based on the strategic importance of the south- east Europe (SEE) region to the parent and the record of capital and liquidity support. PCBS's Long-Term Foreign-Currency IDR is constrained by Serbia's Country Ceiling of `BB-'. The Stable Outlook reflects that on the Serbian sovereign rating. Operating Environment, Limited Franchise: The Viability Rating (VR) reflects the risks from the operating environment, making the bank's performance vulnerable to domestic market shocks that cannot be fully mitigated by conservative PCH group risk-management policies and good corporate governance. It also reflects PCBS's limited franchise. Stable Financial Performance: The bank's stable performance through the cycle has been supported by low loan impairment charges (LICS), wide, albeit...
