Capital Intelligence affirms Gulf Bank’s ‘A+’ rating

Capital Intelligence affirms Gulf Bank’s ‘A+’ rating

KUWAIT: Capital Intelligence Ratings (“CI Ratings”) has affirmed the Long-term Foreign Currency and the Short-term Foreign Currency of Gulf Bank ratings at “A+” and “A1”, respectively. At the same time, CI Ratings has also affirmed the Bank’s Stand alone Rating of “a-“, with a “Stable” Outlook. On the other hand, CI Ratings has also affirmed the rating of Gulf Bank’s KWD50 million Basel III-compliant Tier 2 Subordinated Bonds at “BBB+”. The Outlook for the Bond is “Stable”.

Gulf Bank’s Stand Alone and Core Financial Strength (“CFS”) are both supported by the Bank’s well established business franchise, especially in retail banking, good loan asset quality metrics, solid capital position and sound liquidity metrics. The CFS also reflects the Bank’s size as the fifth largest bank in Kuwait in terms of total assets as on first quarter of 2023, with one of the largest distribution networks in the country and a sound market share of both loans and deposits, as mentioned by CI Rating announcement.

On Gulf Bank’s asset quality, CI Ratings stated in their report that :“Gulf Bank is considered a well-managed institution and conservative lender. Loan asset quality metrics are good as indicated by a fairly well diversified loan book by customer