Fitch rates VTB Bank (Kazahkstan) BBB-

Fitch Ratings said it assigned JSC VTB Bank (Kazahkstan)'s long-term foreign- and local-currency issuer default ratings of BBB-, short-term issuer default rating of F3 and national long-term rating of AA(kaz).

The outlook is stable.

The ratings are underpinned by potential support, in case of need, from its majority shareholder, JSC Bank VTB, which has BBB ratings and a stable outlook, Fitch said.

The one-notch difference between VTB Bank (Kazahkstan) and VTB Bank reflects a view that the parent bank would likely have a strong propensity to support its subsidiary if required based on its strategic importance for expansion outside Russia, Fitch said.

The agency noted that there is some uncertainty regarding possible support given the cross-border nature of the parent-subsidiary relationship.

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