MDM Bank Receives Central Bank of Russia Guarantees for Interbank Transactions
06.11.2008 21:34
Moscow, 6 November 2008 – MDM Bank today became one of three banks and the first private Russian bank to sign an agreement with the Central Bank of Russia (CBR) guaranteeing partial compensation for losses on interbank lending transactions.
The CBR’s selection criteria were: credit ratings of at least BB from Standard & Poor’s and Fitch Ratings, or Ba1 from Moody’s, as well as equity capital of at least RUB 30 bln.
In the agreement, the CBR agrees to place a compensatory deposit with MDM Bank in the event of repayment being delayed by an MDM Bank interbank counterparty. In the event of this interbank counterparty losing its banking license, MDM Bank will have the right to draw money from this deposit.
MDM Bank CFO Vadim Sorokin said, “As one of the largest banks in Russia and one of the backbones of the Russian banking system, MDM Bank plays an important role in restoring the health of the country’s financial system. This agreement is extremely important for us, as it enables the Bank to work more actively with its partners in the banking industry, and will help to stimulate lending to the real economy.”
MDM Bank
MDM Bank was founded in December 1993 and holds a General Banking License issued by the Central Bank of Russia (#2361 dated 31 March 2008). MDM Bank is one of the most dynamically developing banks in Russia and is among the top Russian banks in terms of assets and equity. Today, MDM Bank is a modern universal financial institution offering a full range of services to its clients.
MDM has one of the highest credit ratings among privately-owned Russian banks – Standard & Poor’s (BB, negative), Fitch Ratings (BB, stable) and Moody’s (Ba1, stable) – and is the only Russian financial organization that has been given a public Corporate Governance Score by Standard & Poor’s (CGS-6+).
Standard & Poor’s awarded MDM Bank the highest ranking in its study of “Transparency and Disclosure by Russian banks” in 2006 and 2007. The Bank was also regarded by Euromoney magazine as “one of the leading banks in Russia and Emerging Europe, applying the most advanced standards of corporate governance.”
MDM Bank has received a number of awards from Global Finance magazine:
2005 – Best Domestic Bank and Editor’s Special Award for Transparency.
2006 – Best Forex Bank, Best Domestic Bank, Best Domestic M&A Arranger, and Best Bank in Corporate Governance. In October 2006, Euromoney magazine awarded MDM Bank Leading Bank in Corporate Governance in Emerging Europe.
2007 – Corporate Governance Editor’s Award, and Best Forex Bank.
2008 – Best Domestic Bond Research Team
2008 - Euromoney magazine named MDM Bank the Best Managed Bank in Corporate and Investment Banking in Central and Eastern Europe – 2007
Inquiries
Investor Relations
+7 495 221 30 75
Public Relations
+7 495 363 27 41