Fitch Ratings has upgraded Malta-based FIMBank’s Long-Term Issuer Default Rating (IDR) to ‘BB’, from ‘BB-’, and its Support Rating to ‘3’ from ‘5’.
The rating agency also confirms the outlook for the bank as being stable. It took into account the demonstrated record of capital and funding support provided to FIMBank by Kuwaiti-based Burgan Bank, and its sister bank, Bahrain-based United Gulf Bank, as well as the increased management and operational integration of FIMBank with Burgan Bank.
“Strong and demonstrated parental support as required, for the funding and capitalisation of FIMBank, is the main reason Fitch have cited for this ratings upgrade. While we welcome this decision, we believe the best is yet to come,” Group CEO Murali Subramanian explained.
“We have unrelenting focus on delivering the kind of performance which is expected to progressively render ever stronger returns to our shareholders. It vindicates our strategy based on a series of organisational restructuring, operational review, and cost control measures, which we have been implementing over the past 18 months”.