S&P downgrades outlooks on three Ukrainian banks

Standard & Poor’s announced yesterday it revised the outlooks on the long-term counterparty credit ratings of three Ukrainian banks – Nadra Bank (NADR: N/R), Alfa-Bank Ukraine and Kredobank (ZUKB: N/R) – to negative from stable. In addition, the long-term ratings on the banks were affirmed, and the Ukrainian national scale ratings on two of the affected banks – Alfa-Bank Ukraine and Kredobank – were lowered from uaA- to uaA. The agency said the revisions reflect growing concerns about the adverse impact of high inflation and currency devaluation, as well as ongoing international market turbulence on the financial and commercial profiles of Ukrainian banks. In addition, S&P maintained its stable outlook on Ukrsotsbank (USCB: BUY), reflecting expected support from its strategic parent UniCredit SpA.