Summary: Ravnaq-bank

Large amount of capital, recently injected by the shareholder. Weak competitive position, with marginal market share. Gradual shift to a relatively aggressive funding and liquidity policy. Rapid lending growth, heightening credit risk. High balance sheet concentrations and weak business diversity. The stable outlook reflects our view that Uzbekistan-based Ravnaq-bank's (Ravnaq's) increased capital buffers and the owners' commitment to support the bank if necessary, mitigates risks related to the bank's relatively aggressive liquidity policy and its fast- growth strategy over the next 12 months. We could consider a negative rating action over the next 12 months if we see further deterioration in the bank's funding and liquidity profile, or significant asset quality deterioration. The chance of a positive rating action over

...High balance sheet concentrations and weak business diversity. Outlook: Stable The stable outlook reflects our view that Uzbekistan-based Ravnaq-bank's (Ravnaq's) increased capital buffers and the owners' commitment to support the bank if necessary, mitigates risks related to the bank's relatively aggressive liquidity policy and its fast- growth strategy over the next 12 months. We could consider a negative rating action over the next 12 months if we see further deterioration in the bank's funding and liquidity profile, or significant asset quality deterioration. The chance of a positive rating action over the next 12 months is remote. However, we could consider an upgrade if Ravnaq's risk-adjusted capital ratio improves and remains sustainably above 10%, with its seasoning loans not resulting in significantly higher-than-expected credit losses, all else being equal....

Summary