...Uzbek Industrial and Construction Bank Joint-Stock Commercial Bank's (SQB) Long-Term (LT) Issuer Default Ratings (IDRs) are driven by Fitch Ratings' view of a moderate probability of support from the government of Uzbekistan (BB/Positive), as reflected in its Government Support Rating (GSR) of 'bb'. The bank's 'b' Viability Rating (VR) reflects its exposure to the volatile, but improving, domestic operating environment, high loan dollarization and concentrations, material legacy asset-quality risks and a high share of external wholesale funding. State Support Despite Sale Plans: The government had initially planned to privatize SQB by end-2025 but has recently postponed the sale. Under our baseline scenario, this will not happen until 2027 at the earliest, and we continue to factor state support into SQB's ratings. In our view, the government will provide extraordinary support to the bank, as long as it retains a controlling stake. Improved Operating Environment: We have revised the operating...
