Kuwait – Mubasher: Capital Intelligence Ratings (CI) recently affirmed its ‘BBB’ rating for Burgan Bank's KWD 100 million Subordinated Bond (Basel III compliant).

CI also maintained its stable outlook for the bond issuance, according to a statement published on the credit rating agency’s official website.

The bank’s rating is based on the quality of its assets-to-loans ratio despite a decline in loan provisions in the third quarter of 2016, the Kuwaiti bank said in a bourse filing on Monday.

The lender added that the rating supports its available liquidity, which depends on its wide customer base, as well as its good profitability levels both on the operating and net levels.

The rating also supports the bank’s business both locally and regionally in the MENA region, the statement showed.

CI last confirmed its financial support rating (FSR) for Burgan Bank at ‘BBB+’ at the end of October 2016 with a stable outlook.

The Kuwait-listed bank last reported a 20.6% year-on-year decline in its profits during the third quarter of 2016 to KWD 17.19 million ($56.76 million) from KWD 21.64 million ($71.46 million) in Q3-15.