Fitch drops VTB Bank

Fitch Ratings said it has downgraded the long-term issuer default ratings of JSC VTB Bank and six of its subsidiaries to BBB- from BBB. The outlooks are stable.

At the same time, the agency said it has affirmed the BBB long-term issuer default ratings of Sberbank of Russia and Vnesheconombank with stable outlooks.

The downgrade of VTB's ratings reflects Fitch's view of a marginally lower probability of government support for the bank.

According to the agency, this view is based on the bank's limited policy role, compared with VEB, and more moderate systemic importance and the bank's reduced government ownership and plans for further privatization.

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