"Standard Rating" agency recognized the high reliability deposits of JSC "Piraeus Bank ICB”
13 January 2014
Highest rating “rd.1 (pi)” is interpreted as "high deposits’ reliability compared with other banks that are included into the rating”. Also among of rating marks are the following figures: “rd.2 (pi)”, which means "good deposits’ reliability compared to other banks included into the rankings" and “rd.3 (pi)” and “rd.4 (pi)", interpreted as"acceptable deposits’ reliability compared to other banks included into the rankings"and "poor reliability of deposits compared to other banks included into the rankings" respectively.
It should be recalled that at the beginning of December 2013 "Credit Rating" agency confirmed the deposits level of Piraeus Bank and assigned it "Stable" mark in the rating.
Also, on 6 December, 2013 Moody's upgraded the outlook for long-term deposits and debt rating of Piraeus Bank Group to Saa1 (stable). Earlier Fitch and Standard & Poor's international rating agencies assigned higher credit rating to Greece, namely - stable outlook, corresponding to B3 rating scale of Moody's.
In deposit ratings "Standard Rating" RA continued to use already adapted to Ukraine approaches of the classical CAMP model. However, switching from assessing the reliability of the banks to assessment of reliability of their deposits left some mark as well as the switching to the rating assessment in accordance with the standards established by NBU. During the assessment the agency studied particular groups of factors and their impact on the reliability of deposits. The following factors were taken into consideration: a bank’s capital, loan portfolio quality, liquidity, profitability of operations, the scale of operations, shareholders' support and the quality of deposit programs.
Starting from the fourth quarter of 2013 "Standard Rating" RA has switched to the regular support of bank deposits’ rating. The product will be prepared on a quarterly basis in order to become a guide for the public in evaluating deposit proposals of banks, especially from the point of reliability. The agency has many years of experience in evaluating banks in Ukraine, based on public data and financial statements of banks and statistics, they provide NBU.