Mubasher: Moody's Investors Service has affirmed Gulf International Bank’s (GIB) long-term foreign currency senior unsecured debt and deposit ratings at Baa1.

The provisional subordinated debt rating has been affirmed at Baa2, and the outlook on the bank's senior unsecured debt and long-term deposit ratings remains negative, according to report issued by Moody’s on Tuesday.

At the same time, Moody's has affirmed the baseline credit assessment (BCA) of GIB at ba1.

“The adjusted BCA was lowered to ba1 from baa1 as potential support from the government of Saudi Arabia (A1 Stable), which through its Public Investment Fund (PIF) is the bank's 97% shareholder, is now reflected within the ratings as government support rather than affiliate support.”

Moody’s also noted that the affirmation of the BCA also takes into account the bank's sound financial fundamentals.