Fitch: Bank AlJazira’s Long-term IDR Affirmed at BBB+

https://islamicmarkets.com/articles/fitch-bank-aljazira-s-long-term-idr-affirmed-at-bbb
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Bank AlJazira (BAJ)’s Long-Term Issuer Default Rating (IDR) has been affirmed at BBB+ by Fitch Ratings (Fitch), along with the Support Rating Floor (SRF). Fitch has also maintained BAJ’s Viability Rating (VR) on Rating Watch Negative (RWN).

According to Fitch, the IDR’s rating is driven by its SRF, whilst the Stable Outlook on the IDR is in line with Saudi Arabia’s sovereign rating, given that the high likelihood of sovereign support drives the IDR. BAJ’s Support Rating and SRF also follow this view of garnering support from the Government of Saudi Arabia, as required. Fitch believes that the sovereign has a strong ability to support the banking system, despite decreasing external reserves,...