Fitch Affirms Kuwait Finance House’s Long-Term IDR at A+ with a Negative Outlook

Fitch Ratings (Fitch) has affirmed Kuwait Finance House’s (KFH) Long-Term Issuer Default Rating (IDR) at ‘A+’ with a Negative Outlook. In addition, Fitch has affirmed KFH’s Viability Rating (VR) at ‘bb+’.

Ratings Rationale

KFH’s IDR’s are supported by the Kuwaiti state, with an extremely high probability of support being provided by Kuwaiti authorities to all domestic banks if required, as shown by a Support Rating (SR) of '1' and Support Rating Floor (SRF) of 'A+'. This is reflected in the sovereign rating (AA/Negative) and a strong willingness of authorities to support domestic banks irrespective of funding structure, size and level of ownership. The Negative Outlook on KFH's IDR reflects that of the Kuwaiti sovereign rating.

KFH’s VR reflects i...