...VR and Support Underpin IDRs: ProCredit Bank ad Beograd (PCB Serbia) Issuer Default Ratings (IDRs) are underpinned by its standalone strength as reflected in the Viability Rating (VR) and the support it expects to receive from ProCredit Holding AG & Co. KGaA (PCH, BBB/Stable), its parent. Support considerations include the strategic importance of south-east Europe to PCH and the negative implications of a subsidiary default Country Ceiling Constrains Support: The extent to which support can be factored into PCB Serbia's ratings is constrained by Serbia's Country Ceiling. Absent of this, Fitch Ratings is likely to maintain a one-notch differential between the ratings of PCB Serbia and PCH. The Outlook on the IDR reflects that on the Sovereign. Operating Environment Affects VR: PCB Serbia's VR reflects the high risks of its operating environment, making the bank vulnerable to domestic market shocks. The bank applies conservative PCH group risk-management policies, but these cannot fully mitigate...
