Fitch Affirms Emirates Islamic Bank’s Long-Term IDR at A+; Stable Outlook

Fitch Ratings (Fitch) has affirmed Emirates Islamic Bank’s (EI) Long-term Issuer Default Rating (IDR) at A+ with a Stable Outlook. In addition, Fitch has rated EI’s Viability Rating (VR) at bb-.

Ratings Rationale

The ratings of EI are in line with Emirates NBD Bank (ENBD; rated A+/Stable/F1), supporting Fitch’s view that EI is a vital subsidiary of its 99.9% shareholder. ENBD’s IDR’s reflect the support available from United Arab Emirates (UAE) authorities (AA-/Stable) if required. Given EI’s role as ENBD’s Islamic finance arm, as well as the reputational risk if EI defaults, Fitch believes the support would flow through to EI.

In addition, the rating of senior unsecured Sukuk issued by EI’s sp...