MOODY'S ASSIGNS Ba3 LONG-TERM ISSUER RATINGS TO DEVELOPMENT AND INVESTMENTS CORPORATION OF ARMENIA; OUTLOOK STABLE

7.08.2023

MOODY’S ASSIGNS Ba3 LONG-TERM ISSUER RATINGS TO DEVELOPMENT AND INVESTMENTS CORPORATION OF ARMENIA; OUTLOOK STABLE

 

Moody’s international rating agency has assigned the Development and Investment Corporation of Armenia (DICA) a Ba3 rating with a stable outlook, which is in line with the sovereign rating of the Republic of Armenia.

Moody’s took into account several important factors to assign the rating, namely the State’s participation in DICA’s capital, the high level of capital adequacy (62% at the end of 2022) and the ability to generate high returns (net profit/total assets ratio in 2022 was 3.4%).

According to Moody’s, access to public financing sources, combined with high liquidity, also play an important role in DICA’s ability to finance new projects, as well as repay its own obligations on time.

A high level of capital is a key component of creditworthiness and ensures asset growth, neutralizing losses.

DICA’s stable outlook suggests that capital buffers help the company mitigate asset risks as well as potential pressures from sensitive sectors of the economy.

More detailed information about the rating awarded to DICA can be found on the official website of Moody’s Investors Service Aagency.

Development and Investments Corporation of Armenia highly appreciates the cooperation with Moody’s international rating agency and is confident that the rating awarded by the latter will further strengthen DICA’s position in the financial market and cooperation with partners.

 

Development and Investments Corporation of Armenia (DICA) was founded on 07.08.2009 and implements financing of the real sector of the economy of Republic of Armenia. DICA is a participant in the RA financial system and is controlled by the RA Central Bank.

 

Development and Investments Corporation of Armenia (DICA) is already 14 years old.