The rating of Sarbon reflect favourable perspectives of the growth, high business activity of the credit union and significant position in the sector, strategic growth of the unions, directed at covering its niche in the market and regional expansion, positive financial results of its activity, as well as growing level f capitalization. The rating also takes into account risks related to high growth of assets of credit unions. Currently, Sarbon can fully and timely implement their financial liability in connection with credit unions, which have lower solvency rating.

In connection with regional location and correct business strategy, business scale of Sarbon is growing with high speed. The assets of Sarbon credit union rose by 142.58% in the fourth quarter and reached 2.457 billion soums. The loan portfolio rose 2.5 times to 2.212 billion soums (839.5 million in 2009). The high growth of loan portfolio of Sarbon helped to improve and strengthen profitability figures.

In 2010, the volume of income-bearing assets of Sarbon grew by 138.08%. At the same time, quality of assets of Sarbon evaluated as favourable. The guarantee of issued loans made up 137.67%. It is worth to note that 97.04% of issued loans were secured with the vehicles. Having good quality of loan portfolio, the reserves of Sarbon credit union decreased by 49.62% year-on-year in 2010. At the same time, the reserves from possible losses on loans made up 0.05% of loan portfolio. According to opinion of Ahbor-Reyting analysts, existing level of guarantying of loans is adequate for coverage of possible loss on loans.

Liquidity figure of Sarbon credit union is considered as acceptable. The ratio of loans to deposits and attracted resources in money markets in 2010 grew from 106.44% in the fourth quarter of 2009 to 110.78% in the fourth quarter of 2010.

It is worth to mention that long-term loans make up 76.19% of Sarbon’s loan portfolio. At the same time, deposit portfolio of the credit union is defined as short-term, the rating agency said. In the reviewed period, about 91.06% of attracted deposits of Sarbon were for up to a year. At the same time, the ratio of long-term loan to long-term deposit in the fourth quarter of 2010 makes up 507.34%. Simultaneously, the current liquidity coefficient of Sarbon makes up 22.85%.

Main resources of funding of the credit union are fees of individuals’ members. In the fourth quarter of 2010, the attracted deposits of Sarbon credit union rose 122.11%, including saving deposits grew by 125.99%, term deposits – 121.74%. At the same, Sarbon offers 45 various deposits to attract free funds of population. The average interest rate on attracted resources of Sarbon makes up 34.58%.

Capitalization of Sarbon credit union is rated as sufficient. Capital base of the credit union grew over 2.5 times and total own capital reached 439.9 million soums. At the same time, the coefficient of capital adequacy of the credit union was kept at the stable level and made up 19.89%. Simultaneously, the leverage coefficient of Sarbon grew from 16.60% in the fourth quarter of 2009 to 17.90% in the same period of 2010.