MARC: IsDB’s AAA/MARC-1 Ratings Affirmed; Outlook Stable

Malaysian Rating Corporation (MARC) has affirmed Islamic Development Bank (IsDB)’s AAA/MARC-1 financial institution (FI) ratings, with the Outlook at Stable.

The ratings affirmation reflect IsDB’s preferred creditor status as a multilateral development bank (MDB) established by the Organisation of Islamic Cooperation (OIC) with the aim of providing financial support for OIC member nations and other Islamic communities even in non-member countries. IsDB’s preferred creditor status gives priority of debt payments to MDBs over other creditors.

Added to this MARC has considered IsDB’s sound capitalisation, healthy liquidity and low level of leverage, which offers...