Kuwait Finance House – Ratings Affirmed

Ref: KW 0 1 0 2 1 CRA00- 01 21 June 202 2

Kuwait Finance House – 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 Kuwait Finance House (KFH) at ‘A’ and ‘A1’, respectively. At the same time, CI Ratings has raised the Bank’s Core Financial Strength (CFS) rating to ‘bbb+’ , from ‘bbb’ , and affirmed the Bank Standalone Rating ( BSR) of ‘bbb’ . The Outlook for the LT FCR and BSR is Stable.

The change in the CFS was principally driven by the significant improvement in KFH’s financial metrics, specifically a lower level of non-performing financings (NPF s ), increased financing loss reserve (FLR) coverage, improved profitability, and strengthened capital adequacy.

The three-notch uplift of the LT FCR above the BSR…