OREANDA-NEWS. On December 01, 2008 Fitch Ratings international ratings agency has downgraded from “stable” to “negative” rating forecast for 11 Ukrainian banks, including VAB Bank, reported the press-centre of VAB Bank.

Back in October, Fitch Ratings downgraded issuer default ratings (IRDs) and support ratings of 10 Ukrainian banks, maintaining the “negative forecast” in line with the revision of Ukraine’s sovereign ratings.  Now all Ukrainian banks rated by Fitch Ratings have negative forecast.

This ratings action has been caused by abrupt downfall of the national currency exchange rate and the growing concerns of Fitch Ratings regarding credit capacity of Ukrainian banks.  Inter alia, in Fitch Ratings’ opinion, there’s a likelihood of deposits outflow against the backdrop of depositors’ tendency to convert hrivnia into US dollars, as well as a possibility of asset quality and capital adequacy deterioration.

“In current situation such change of rating forecast reflects not the internal situation of the bank but rather macroeconomic trends in Ukraine and risks of the banking system in general,” said Lukas

Tursa, VAB Bank Deputy Chair.  “Concerns of the ratings agency are understandable.  Accordingly, giving regard to the market context, the Bank is pursuing the strategy of preservation of and building up its liquid funds reserve and has for many months demonstrated excess liquidity for all currencies.  Besides, we feel support of our shareholders.”