The government plans to allocate 15 billion rubles for the recapitalization of RSHB in 2019, and in 2020 another 10 billion rubles. This is stated in the government's amendments to the draft budget for 2019–2021, received by the State Duma, the representative of the Ministry of Finance told Interfax and confirmed to Vedomosti.
This year, RSHB has already replenished capital by 20 billion rubles: the government has allocated 5 billion rubles, another 15 billion rubles. the bank has attracted by issuing perpetual subordinated bonds. The issuance of such securities allows the bank to increase its fixed capital, and therefore create more reserves. Bonds can be placed by closed subscription among qualified investors.
By the end of 2018, the bank will be capitalized by another 20 billion rubles, Prime Minister Dmitry Medvedev promised in October. “In the past, the bank had problems - the so-called toxic assets, i.e., these were accumulated problem debts, as well as participation in certain projects for which the probability of payment is almost zero, so they need to be closed,” RIA Novosti reported. words of Medvedev. The budget amendments for 2018 already take into account the additional capitalization of RSHB by 20 billion rubles.
Thus, the bank’s capital will increase by 40 billion rubles by the end of the year. The deputy chairman of the board of RSHB, Kirill Levin, in May estimated the need for a bank in new capital for 2018 at 30 billion rubles. The Central Bank insisted on the same amount, the Vedomosti interlocutors said in September. But the decision at that time was not taken.
In the future, RSHB may replenish its capital by issuing "perpetual" subord. Last week, the Central Bank registered 30 issues for 90 billion rubles. and 10 more issues for $ 500 million.
Additional capitalization of the RSHB is more necessary for business development, and not for maintaining capital adequacy, said Irina Nosova, deputy director of the bank’s ACRA banking ratings group. The standards for RAS, which the regulator focuses on, are fulfilled with a margin, she points out. On October 1, the capital of the RSHB according to Russian standards was 427.8 billion rubles.
Historically, RSHB has troubled assets, said Karina Artemyeva, an analyst at the National Rating Agency. Now the bank really fulfills the regulations with a reserve and even taking into account the increase in allowances to standards from January 1, 2019, she says: “But perhaps with a more rigorous assessment of the quality of assets, the bank may need to build reserves, which means there will be a need for capital ".
The planned capital increase will also increase capital adequacy under IFRS, adds Nosova: over the past three years, it has been at a low level due to the creation of reserves for problem loans. As of January 1, 2018, the capital adequacy ratio was 6.8% with a minimum value of 6%, she points out. The share of problem loans from RSHB in the loan portfolio is significantly higher than that of comparable banks with state participation in capital, Nosova notes: if the risk of loan depreciation of some of the largest borrowers is impaired, the bank will have to substantially complete the reserves, which will also require additional capital inflows from the state.
Governmental amendments to the budget show that the bank will not remain without state assistance, indicates Artemyeva.
The representative of RSHB did not comment on the issues of Vedomosti. His colleagues from the Ministry of Agriculture, the Central Bank and the Federal Property Management Agency (owns 100% of the bank’s shares) did not respond to requests from Vedomosti.