Fitch rates Eurasian Development Bank notes BBB

Fitch Ratings said it assigned Eurasian Development Bank's KZT15 billion index-linked interest notes due 2014 a long-term rating of BBB. The rating is in line with its BBB long-term issuer default rating. The notes were issued under the bank's $3.5 billion euro medium-term notes program.

The ratings are driven by support from the Russian Federation and the Republic of Kazakhstan, which are the two founding member states of the bank and respectively own about two-thirds and one-third of the bank's share capital, Moody's said.

The ratings also are supported by a number of privileges provided to the bank, including preferred creditor status, which protects the bank's assets from any restriction or foreign-currency moratoria and gives it priority of repayment over other creditors in the case of a sovereign default, Moody's said.

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