Yerevan /Mediamax/. Fitch Ratings downgraded on August 14 VTB Bank (Armenia)’s Long-term foreign and local currency Issuer Default ratings (IDRs) to “BB” from “BB+”. The outlooks on the ratings are Stable.

Mediamax informs, referring to Fitch Ratings, bank’s short-term foreign and local currency IDRs are affirmed at “B”. Bank’s Individual Rating (D/E) and Support Rating (3) are also affirmed.

The downgrade on bank's IDRs reflects the downgrade of Armenia's Country Ceiling, which captures transfer and convertibility risks and limits the extent to which support from the sole shareholder of VTBA, Russia's state-owned VTB Bank (VTB, “BBB”/Negative), can be factored into its Long-term IDRs.

VTB Bank (Armenia) is Armenia's fourth-largest bank in term of total assets, with 10.4% of the banking system's loans and 6.4% of customer deposits at the end of first half of 2009.