+ A
A -
Tribune News Network
DOHA
Fitch Ratings has upgraded Qatar International Islamic Bank's (QIIB) outlook to 'stable' and affirmed the bank's Long-Term Issuer Default Rating (IDR) at 'A', which underlines the strength of the Qatari economy, the bank has announced.
The upward rating reflects Fitch's view that Qatar has successfully managed the fallout from last year's rupture of trade, financial and diplomatic relations with the quartet.
"Public sector liquidity injections have stabilised the country's banking sector and stemmed the outflow of non-domestic funding," Fitch Ratings said.
"Qatar's fiscal deficit has narrowed sharply and Fitch expects it to turn into a surplus in 2019. The economy has reconfigured its supply chains and continues to grow at a robust pace. There has been no escalation of measures against Qatar," the international rating agency said.
QIIB Chief Executive Officer Dr Abdulbasit Ahmad al Shaibei said,"QIIB rating at this high level, with a stable outlook, reflects the strength of the Qatari economy, which provides an incredible thrust to its banking sector that has proven to be highly efficient and resilient to the challenges and various market factors at work.
"In the world of Islamic finance, we have established our financial position for many years. We have been able to be an active part of the banking market, locally and abroad. Our financial position has grown significantly over the past years and we have benefited from the rich opportunities being offered by the Qatari economy.
He added,"This is part of a broader view of the Qatari economy, which is considered one of the most efficient global economies, and this has been recognised and endorsed by experts, as well as attested by the country's measurable growth figures."
Dr Shaibei said,"Our financial results at the end of 2017 and the first quarter of 2018 confirm that these are consistent with the development of the dynamic Qatari economy. Our net profit in the first quarter of 2018 has grown beyond seven percent and we have made a continuous improvement in several key financial indicators. Fitch's ratings affirmation and stable outlook are a natural reflection of these."
He added,"The bank will continue to focus on the local market and contribute to the financing of various projects, especially those vital to the development of the Qatar National Vision 2030. The bank is considering viable foreign investment opportunities that benefit QIIB and its shareholders alike."
