Saman Bank – Ratings Upgraded

Ref: IR0242 2 CRA00-0 1 14 November 2023

Saman Bank – Ratings Upgraded

Capital Intelligence Ratings (CI Ratings or CI) has upgraded the Long-Term Foreign Currency Rating (LT FCR) of Saman Bank (SB) to ‘B’ from to ‘B-’. Similarly, CI Ratings has upgraded the Bank Standalone Rating (BSR) to ‘b’ from ‘b-’ and the Core Financial Strength (CFS) rating to ‘b+’ from ‘b’. At the same time, SB’s Short-Term Foreign Currency Rating ( ST FCR ) of ‘B’ and Extraordinary Support Level ( ESL ) of Uncertain have been affirmed . The Outlook on the LT FCR and BSR has been revised to Stable from Positive.

The ratings upgrade reflects the significant improvement in asset quality in FY22 and into H1 FY23, with both the non-performing financings (NPF) ratio and financing loss reserve (FLR) coverage improving to a sound level in FY23 , based on the unaudited figures. As a result,…