PACRA upgrades Bank AL Habib rating

PACRA has upgraded the long-term rating of Bank AL Habib Limited to “AA+”. It also maintained the short-term rating at “A1+”. Meanwhile, the ratings of the unsecured, subordinated TFC issues have also been upgraded to “AA”. These ratings denote very low expectation of credit risk emanating from a very strong capacity for timely payment of financial commitments.

The Pakistan Credit Rating Agency or PACRA ratings reflect the bank’s exceptional asset quality and robust financial profile, an outcome of management’s prudent risk management policies and low risk appetite. The management’s proactive stance towards strengthening its systems and controls and initiatives in product innovation, technology upgradation and outreach expansion have assisted growth prospects, while improving the bank’s relative positioning among peers. Meanwhile, the bank continues to sustain a strong foothold in its core area of focus – trade finance to commercial segment – despite intensifying competition.