Fitch Confirmed EDB’s Credit Ratings

On 10 April, Fitch Ratings (https://www.fitchratings.ru/) confirmed the high ratings of the Eurasian Development Bank: long-term IDR at ‘BBB+’, forecast ‘stable’, and short-term IDR at ‘F2’.

Now EDB’s ratings correspond to the sovereign rating of the Russian Federation (‘BBB+’/ ‘stable’/‘F2’) assigned by Fitch. Notably, EDB’s ratings were confirmed despite the fact that forecast for Kazakhstan’s long-term IDR (’BBB’) was downgraded from ‘stable’ to ‘negative’ in December 2007. Kazakhstan’s short-term IDR remained ‘F3’.

Fitch commented that the ratings of EDB are based principally on the ratings of its shareholders and the privileges granted to it by the founder states. Fitch holds that the founder states will continue their support for EDB regardless.

Fitch also took account of EDB’s status as preferential creditor; possession of a complex risk management system; and conservative approach towards setting and observance of internal prudential standards.