Alfa-Bank is in systemically important banks list, the Central Bank published on July 15, 2015. The list includes also such banks as Sberbank, VTB, Russian Agricultural Bank, Gazprombank, UniCredit Bank, Raiffeisenbank, Rosbank, Otkritie FC and Promsvyazbank. These banks account for over 60% of the Russian banking sector assets.
The criteria to determine systemically important banks are size of a credit institution in terms of total assets, the share of individual deposits in total deposits of Russian banking system, as well as the volume of transactions in the interbank market.
This CBR list was published for the first time. Systemically important banks will have to comply with new standards, including the liquidity coverage ratio (LCR) and additional requirements for capital adequacy in accordance with Basel III. These requirements are necessary to ensure the Russian banking system stability.
According to RAS financial statements as of 1 July, 2015 Alfa-Bank’s assets were 1 792 billion rubles, equity was 223.6 billion rubles, individual deposits amounted to more than 540 billion rubles.
Alfa-Bank has been working successfully for more than three years on the implementation of Basel II and Basel III standards. Already, the bank’s capital adequacy ratios are above the thresholds, and even above some of new Basel III requirements: as of July 1, 2015 total capital adequacy (N1.0) is 11.41% (with 10% threshold), and the core capital adequacy ratio (N1.1) is 7.52% (the regulatory requirements of 5%). As of July 1, 2015 the instant liquidity ratio (N2) is 153.17%, which is significantly higher than the minimum established threshold.
«Alfa-Bank has been calculating and maintaining over a year at a high level the new liquidity coverage ratio (LCR), which the Central Bank plans to implement before the year end, as well as the net stable funding ratio (NSFR), which introduction time in Russia has not determined yet (it has just begun in some European countries). The inclusion of Alfa-Bank in the list of systemically important credit institutions proves its key role in the Russian economy, reliability and financial stability» — Alexei Tchoukhlov, Chief Financial Officer and Deputy Chairman of the Executive Board, comments.