Russian rating agency RAEX (Expert RA) has affirmed its A creditworthiness rating on Bank Agrosoyuz. This rating corresponds to "the high level of creditworthiness", the agency's press service reported. The sublevel of the rating is 2, and the rating outlook is stable.
Analysts pointed out that the bank's assets and liabilities are well-balanced in terms of maturity (N2 equals 97.6%, N3 is equal to 293.1%, and N4 is 59.5%), highly liquid assets equaled 15.5% as of August 1, and they also highlighted the good quality of its bank guarantee portfolio. Moreover, the rating was impacted by the good quality of the securities portfolio and the bank's broad network.
The bank's rating was also pressured, as the experts believe, by its modest capital adequacy ratio (As of August 1, 2015 N1.0 equaled 11.9%), low returns (from July 1, 2014 until July 1, 2015 ROE equaled 0.5% excluding income from property provided on a gratuitous basis), and also low coverage of operating expenses by net interest income and net commission income.
