Kurdistan International Islamic Bank – LT FCR Rating 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 Kurdistan International Islamic Bank for Investment and Development’s (KIB or the Bank) at ‘B-’ and ‘B’, respectively. The LT FCR Outlook is Stable. CI Ratings has also affirmed KIB’s Bank Standalone Rating (BSR) of ‘b-’ with a Stable Outlook, and the Extraordinary Support Level (ESL) of Uncertain. The Core Financial Strength (CFS) rating is lowered to ‘b+’ (from ‘bb-’).

At the same time, CI has affirmed KIB’s Long- and Short-Term Ratings on the Iraq National Scale of ‘iqBBB’ and ‘iqA3’, respectively, with a Stable Outlook. These are supported and constrained by the same factors as the CFS, as outlined below.

The revision of the CFS rating to ‘b+’ is driven by the loss seen at both the operating and net levels in 2024, and the expectation that the Bank will…