Fitch said the rating action followed the upgrade of the city of Moscow's IDR to BBB+ from BBB on Monday.
"The rating action reflects Fitch's view of the City of Moscow's improved capacity to support Bank of Moscow," Fitch said.
The Bank of Moscow, a full-service commercial bank operating nationwide and offering a comprehensive range of services to domestic and foreign corporate and retail clients, said Wednesday its pre-tax profit calculated to Russian Accounting Standards had risen 46% year-on-year in the first half of 2006 to 3.8 billion rubles (about $140.7 million).
The bank, which is majority-owned by the Moscow government, said its shareholder equity calculated under the Central Bank's methodology had expanded 8% to 29.9 billion rubles (about $1.1 billion) as of July 1, 2006.
