Arab International Bank – Ratings Affirmed with a Stable Outlook

Capital Intelligence Ratings (CI Ratings or CI) today announced that it has affirmed both the Long-Term Foreign Currency Rating (LT FCR) and the Short-Term Foreign Currency Rating (ST FCR) of Arab International Bank (AIB or the Bank) at ‘B’. At the same time, CI Ratings has affirmed AIB’s Bank Standalone Rating (BSR) of ‘b’, Core Financial Strength (CFS) rating of ‘bb-’ and Extraordinary Support Level (ESL) of Moderate. The Outlook for the LT FCR and BSR remains Stable.

AIB’s LT FCR is currently closely correlated with the sovereign’s creditworthiness. Any improvement or deterioration in Egypt’s LT FCR and/or outlook will therefore have a corresponding effect on AIB’s ratings and outlook. Although we deem the Egyptian authorities’ willingness to provide support to be good, in view of AIB’s significant government ownership, its financial capacity to do so may be considered to be moderate as indicated by Egypt’s sovereign ratings…