Tashkent, Uzbekistan (UzDaily.com) — International credit rating agency Fitch Ratings has upgraded the Insurer Financial Strength (IFS) Rating and Long-Term Issuer Default Rating (IDR) of Uzbekistan-based SQB Insurance from ‘BB-’ to ‘BB’. The outlook on both ratings is “Stable.”

The upgrade mirrors similar rating actions taken on the company’s sole shareholder — the Uzbekistan Industrial and Construction Bank (Uzpromstroybank, UICB), whose long-term IDR is also rated ‘BB’ with a stable outlook.

According to Fitch, SQB Insurance’s ratings are aligned with those of UICB, reflecting the insurer’s strategic importance to the bank, strong intra-group integration, and managerial oversight. This alignment implies a high likelihood of continued financial and operational support from the parent bank.

The agency also evaluated SQB Insurance’s standalone characteristics, highlighting:

A relatively small business scale — the company held a 2.3% market share at the end of 2024.
High concentration in the financial insurance segment.

A “Weak” capital position as of year-end 2023, based on the Fitch Prism capital model.

Despite these limitations, Fitch views the company’s financial performance positively. Based on national financial statements, SQB Insurance reported a strong return on equity (ROE) of 36% in 2024.

The company’s investment portfolio is almost entirely composed of short- and long-term deposits (99%), placed with both state-owned and major private banks rated in the ‘B’ and ‘BB’ categories.