ACRA affirms the EDB’s credit rating at A- with stable outlook
Moscow, 24 August 2021. ACRA affirmed the Eurasian Development Bank’s (EDB) credit rating at A- with stable outlook on the international scale, AAA(RU) with stable outlook on the national scale, and issue ratings at AAA(RU).
“The Eurasian Development Bank's credit rating is driven by the EDB’s own standalone creditworthiness assessment (SCA) at (a-), which stems from strong capital adequacy, satisfactory risk profile, and adequate liquidity and funding position. The EDB shareholders, in turn, are able to support its operations,” ACRA comments.
The quality of management, strategy, and transparency of activities is assessed as satisfactory. The EDB’s organisational structure and corporate governance are in line with the scope of its mandate. The Bank’s strategy for 2018–2022 aims to actively expand investment activities, particularly in the energy sector. In addition, the EDB intends to develop settlement transactions (letters of credit and clearing services) among the EAEU member states, as well as issue customs guarantees and guarantees for the fulfilment of state orders, which would strengthen the Bank’s position as a leading multilateral development institution for the Eurasian region.
In its assessment, ACRA notes the high percentage of RUB (26,8%) and KTZ (20,9%) denominated bonds issued by the EDB.
ACRA also notes that the shareholders support the EDB’s operations because of its high importance for the member countries.
Additional Information:
The Eurasian Development Bank (EDB) is an international financial institution promoting integration and development in its member countries. For 15 years, the Bank has worked to strengthen and broaden economic ties and foster comprehensive development in its member countries – Armenia, Belarus, Kazakhstan, the Kyrgyz Republic, Russia, and Tajikistan. The EDB's charter capital totals US $7 billion. The EDB’s portfolio mainly consists of projects with an integration effect in the areas of transport infrastructure, digitalisation, green energy, agriculture, industry, and mechanical engineering. The Bank adheres to the UN Sustainable Development Goals and ESG principles in its operations.
The EDB Media Centre:
Azima Sapargaliyeva +7 (777) 750 00 08 (Almaty)
Sergey Gorbachev +7 (916) 727 22 00 (Moscow)