Commercial Bank of Kuwait – Ratings Affirmed

Capital Intelligence Ratings (CI Ratings or CI) today announced that it has affirmed the Long-Term Foreign Currency Rating (LT FCR) and Short-Term Foreign Currency Rating (ST FCR) of Commercial Bank of Kuwait (ComBk or the Bank) at ‘A+’ and ‘A1’, respectively. At the same time, CI Ratings has affirmed ComBk’s Bank Standalone Rating (BSR) of ‘bbb+’, Core Financial Strength (CFS) rating of ‘bbb+’ and Extraordinary Support Level (ESL) of High. The Outlook on the LT FCR and BSR remains Stable.

In a separate rating action also published today, CI has affirmed the issue ratings assigned to the Bank’s Basel III-compliant Tier 2 subordinated bond (Tranche 1 and 2) at ‘BBB’ with a Stable Outlook.

The three-notch uplift of the LT FCR above the BSR is based on an ESL of High. The ESL takes into account the Bank’s market position in the Kuwaiti banking sector, the Kuwaiti government’s strong track record of providing assistance to banks in the event of need,…