OREANDA-NEWS. On September 20, Fitch Ratings agency upgraded MDM Bank's Long-term Issuer Default rating (IDR) to ‘BB’ from ‘BB-’ (BB minus) and its National Long-term rating to ‘AA-(rus)’  from ‘A+(rus)’. Fitch had also confirmed MDM’s other ratings at: Short-term IDR - ‘B’, Individual - ‘C/D’, Support - ‘4’ and Support Rating Floor - ‘B’. Outlook for both long-term ratings is Stable.

According to the MDM Bank press center with reference to Fitch Ratings, “The upgrade reflects lengthened tenor and improved diversification of MDM’s foreign funding, which, together with prudent liquidity management during this period of problems in the international capital markets, is allowing the bank to relatively comfortably meet its refinancing needs. The rating action also takes into account the bank’s increased franchise and size, as well as strengthened corporate governance.”

The agency stated that MDM’s ratings are also based on its adequate capitalisation, sound management and risk management capabilities, satisfactory asset quality and sound performance. Andrey Ilyin, MDM Bank's CFO, said, "MDM welcomes this upgrade by Fitch Ratings. We will continue to work towards further diversification of our business on both sides of the balance sheet  and in line with our strategy.”