Outlook on Saudi Bank LT FCRs Revised to Positive Following Similar Sovereign Action
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SA0 1 023 PBK00-01 24 January 2023
Outlook o n Saudi Bank LT FCR s Revised to Positive Following Similar Sovereign Action
Capital Intelligence Ratings (CI Ratings or CI) today announced that it has revised the Outlook on the Long-Term Foreign Currency Rating (LT FCR) of six Saudi Arabian banks to Positive from Stable. At the same time, the six banks’ LT FCRs, Short-Term Foreign Currency Ratings (ST FCRs) and Bank Standalone Ratings (BSRs) have been affirmed at their current levels, with each bank continuing to display generally solid financial fundamentals.
The Positive outlook mirrors a similar action on Saudi Arabia’s sovereign ratings (‘A+’/‘A1’/Positive) in December 2022 and indicates that the LT FCRs of the six banks are likely to be raised by one notch in the next 12 months provided the sovereign’s credit strength and its capacity to support the banking system improve as expected.
The LT FCRs of…