Fitch Affirms Otbasy Bank at BBB, Outlook Stable

The international rating agency Fitch Ratings on March 1, 2022 confirmed the long-term issuer default ratings in national currency (IDR) of Otbasy Bank JSC at the level of "BBB". The rating outlook is Stable.

The affirmation of the Bank's rating reflects the view of Fitch Ratings that there is a high probability of support that the Bank may receive from the state, if necessary. The agency said in a statement that Otbasy Bank is unlikely to require emergency support in the medium term due to strong asset quality, a strong capital cushion, and a moderate liquidity cushion.

- The affirmation of the bank's rating indicates the stability of Otbasy Bank, the effectiveness of its operations and business strategy. Now we rank first in terms of long-term deposits of individuals among STBs in Kazakhstan with a share of 39% and in terms of mortgage lending with a share of 66%. The number of participants in the housing construction savings system is 2.2 million people, or 23.5% of the economically active population. Every day, the bank issues about 300 loans and opens about 4,000 new deposits, - said Lyazzat Ibragimova, Chairman of the Board of Otbasy Bank.

To date, the bank has the lowest level of NPL (loans with a delay of more than 90 days), now it is 0.06%, with an average bank level of 3.31%. The bank's liquidity reserve is sufficient to meet its loan commitments over the next three years.