E[pounds sterling] Despite its relatively strong capitalisation, ARNB's risk profile is more vulnerable than stronger Saudi peers such as SABB, SAMBA and BSFR
, due to its business mix and asset quality dynamics.
SAIB, Al Rajhi, BSFR
and ANB reported double digit decline in NIMs, while our top picks SHB, SABB and RIBL were successful in maintaining it YoY.
Provisioning at BSFR
and AlRajhi significantly grew in 4Q13 which negatively impacted their 2013 profits.
Banks, including Al Rajhi, Saudi British Bank (SABB), Banque Saudi Fransi (BSFR
) and Saudi Hollandi Bank (AAAL), have reported higher quarterly profit.
(BI&P), including its standalone bank financial strength rating (BFSR) to E+ from D-; the E+ BSFR
is now equivalent to a lower b1 baseline credit assessment.
The KSA banking sector (excluding BSFR
) reported in line Q1 13A earnings, reports Arqm Capital.
and A3 deposit rating of WGZ BANK Ireland Plc (WGZ-I) and changed
SAMBA, ANB, SHB and SABB were worse than expected, while Alinma, SABB, BSFR
, Albilad were best at protecting their spreads.
Summary: At the time of the withdrawals, the BSFR
, the long-term local-currency
Moody's Investors Service has downgraded the long-term local and foreign-currency deposit ratings of HSBC Bank Middle East Limited (HBME) by one notch to A2 from A1 and affirmed the C- bank financial strength rating (BSFR
), which has been remapped to a standalone credit assessment to baa2 from baa1.
At the time of the withdrawals, the BSFR
, the long-term local-currency deposit rating, and the long-term NSR had a negative outlook.