Fitch rates Al Masraf A

Fitch Ratings said it assigned a long-term issuer default rating of A and viability rating of B+ to Arab Bank for Investment and Foreign Trade PJSC (Al Masraf).

The outlook is stable.

The ratings reflect the bank's extremely high probability of support available to the bank from the United Arab Emirates authorities and Abu Dhabi authorities, if needed, Fitch said.

The ratings reflect the sovereign's strong capacity to support the banking system, sustained by its sovereign wealth funds and ongoing revenue from hydrocarbon production, despite lower oil prices, the agency explained.

The country has a long track record of supporting domestic banks, Fitch added.

The bank's viability rating reflects its small franchise, undiversified business model and substantial problem loans accentuated by loan book concentrations, the agency said.

The ratings are constrained by the bank's weak asset quality and high sector concentration, Fitch said.

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