10-11-2022
Global rating agency Standard & Poor's upgraded the commercial bank's long-term credit rating to A- from BBB+ and affirmed the bank's short-term rating of A-2. The outlook is stable.
According to the agency, "We believe that Commercial Bank has strengthened its standalone credit strength while improving the quality of its asset portfolio and reducing exposure to high-risk sectors and geographies."
The rating agency highlighted the key role of the Qatari authorities in providing support to the bank, as stated in the report: “The government’s plan to reduce the debt ratio leads to lower lending opportunities for banks. At the same time, we believe that indicators of asset quality will remain stable at guaranteed rates during the year 2023.
Joseph Abraham, Chief Executive Officer of Commercial Bank Group, said: “This improvement in ratings by Standard & Poor's reflects Commercial Bank's strategy to reduce risks on the balance sheet while maintaining capital stability. The Standard & Poor's rating reflects the Bank's improved performance in terms of generating revenue, the bank’s capital strength and liquidity, and the focused implementation of our five-year strategic plan.”
Commercial Bank has strong credit ratings of (A2/P-1) from Moody's and (A-/F2) from Fitch with a stable outlook on both sides.