Burgan Bank ’s Ratings Affirmed ; Outlook Remain s Stable

Ref: KW00320 CRA00-01 25 Ma y 202 1

Burgan Bank ’s Ratings Affirmed ; Outlook Remain s Stable

Capital Intelligence Ratings (CI Ratings or CI) has affirmed the Long-Term Foreign Currency Rating (LT FCR) and Short-Term Foreign Currency Rating (ST FCR) of Burgan Bank K.P.S.C. (BB) at ‘A+’ and ‘A1’, respectively. At the same time, CI Ratings has affirmed the BB’s Bank Standalone Rating ( BSR ) of ‘bbb+’, Core Financial Strength ( CFS ) rating of ‘bbb+’ and Extraordinary Support Level ( ESL ) of High. The Outlook for the LT FCR and BSR has been maintained at Stable, despite the recent lowering of the Outlook on the Kuwait Sovereign to Negative as the current LT FCR is not constrained by the Sovereign.

As the ESL is set at High, there is a three notch uplift for the LT FCR over the BSR, taking it to ‘A+’. The ESL reflects CI’s view that official support for BB would be forthcoming if needed. As…