GulfBase Live Support
29/02/2016 12:49 AST
Moody’s Investors Service has affirmed National Bank of Kuwait’s (NBK) long-term global local currency (GLC) deposit rating at Aa3, the highest in the Middle East and North Africa, with a stable outlook.
In its latest credit opinion report, Moody’s assigned a Counterparty Risk Assessment (CR Assessment) of Aa2 (cr)/Prime-1(cr) to NBK.
Moody’s said that NBK’s ratings reflect its dominant position in the domestic market that underpins its resilient core profitability; and robust financial fundamentals including consistently good asset quality metrics and strong capitalisation and liquidity.
Moody’s stressed that NBK is in a preferential position to exploit larger credit opportunities compared to its domestic peers. The agency expects that as the government's development plan begins to gain traction, with more infrastructure projects being tendered than in previous years, NBK will be able to take advantage of new business opportunities.
Moody’s said that NBK is Kuwait's largest financial institution, with a market share of 33% of consolidated system assets, underpinning its price-setting and income generating capacity. NBK is also a leader in trade finance and one of the few local banks with the capacity to structure and underwrite large capital market transactions. Furthermore, NBK has historically acted as lead-financer for the majority of public contracts awarded to foreign companies.
Moody’s added that NBK’s core profitability will remain robust despite tighter margins. NBK has a stable deposit base and would benefit from "flight to quality" in the event of non-intrinsic systemic problems.
Moody’s noted that NBK has consistently performed better than local peers. NBK’s non-performing loans (NPLs)-to-gross loans ratio fell to 1.3% at year-end 2015 and remained below the average for the conventional Kuwaiti banks.
Moody’s stated that NBK’s capital adequacy ratio (CAR) is well above the regulatory requirements. During 2015, NBK boosted its capital base through issuing USD 700 million Additional Tier-1 (AT-1) securities and KD 125 million of Tier 2 subordinated bonds. The issuances are used to improve NBK’s capital as per Basel III requirements and the directives of the Central Bank of Kuwait.
NBK continues to enjoy collectively the highest ratings among all banks in the Middle East from the three international rating agencies Moody’s, Fitch Ratings and Standard and Poor’s. The Bank’s ratings are supported by its high capitalization, prudent lending policies, and its disciplined approach to risk management, in addition to its highly recognized and very stable management team.
Press Release
04/04/2018
NBK Capital Partners and Gulf Capital have partnered for the first time to make a strategic investment in Jordan’s Classic Fashion Apparel Industry, one of the biggest private sector employers in Jor
Trade Arabia
14/03/2018
NBK Capital won a prestigious award by the MENA Fund Manager magazine. The renowned magazine focuses in depth analysis of MENA fund management trends. The award was announced during the Annual Mena F
Press Release
13/03/2018
National Bank of Kuwait (NBK) has been awarded the “Best Private Banking Services Overall for 2018” in Kuwait in Euromoney’s Annual Survey surpassing global banks in wealth management and private ban
Arab Times
Ticker | Price | Volume |
---|---|---|
SABIC | 114.77 | 5,915,941 |
Ticker | Price | Change |
---|---|---|
FAB | 11.95 | 0.20 (1.70 |
NCB | 64.98 | 0.35 (0.54 |
RJHI | 76.03 | 0.78 (1.03 |
EMIRATESNBD | 10.65 | 0.05 (0.47 |
SAMBA | 26.98 | 0.59 (2.23 |
05/04/2018
SABIC announced the successful completion of the pilot operation of the Methyl Methacrylate Monomer (MMA) and Poly Methyl Methacrylate (PMMA) plants and the commencement of commercial operations.
Saudi Gazette
05/04/2018
Standard & Poor’s (S&P) has affirmed QIB’s Issuer Credit Rating at A-, Qatar’s leading Islamic bank has said in a release. According to S&P, the major contributing factors strengthening QIB’s rating
Gulf Times
05/04/2018
Qatar National Bank (QNB) aims to increase its profit by 5-8 percent this year and loans and investments by 10-12 percent, helped by expansion into faster-growing Southeast Asia markets, its CEO told
The Peninsula
04/04/2018
Doha Bank has announced the official inauguration of its Chennai Branch, in the southern Indian state, will be held today. This is Doha Bank’s third city in India after its successful establishment o
The Peninsula
04/04/2018
Bank of Sharjah said it has engaged SHUAA Capital International as liquidity providers for its shares and will commence the activity from April 4. SHUAA Capital International shall not hold more than
Gulf News