KARACHI: VIS Credit Rating Company Limited (VIS) has upgraded entity ratings of Faysal Bank Limited (‘FABL’ or the ‘Bank’) to ‘AA+/A1+’ (Double APlus/A One Plus) from ‘AA/A1+’ (Double A/A One Plus).
Medium to long-term rating of ‘AA+’ indicates high credit quality; protection factors are strong. Risk is modest but may vary slightly from time to time because of economic conditions. Short-term rating of ‘A1+’indicates the strongest likelihood of timely repayment of short-term obligations with outstanding liquidity factors. The outlook on the assigned ratings is ‘Stable.’ Previous rating action was announced on June 28, 2024.
The assigned ratings to FABL reflect a sound financial profile, underpinned by FABL’s strong trajectory in Islamic banking after successful transformation into a full-fledged Islamic bank. Moreover, digital transformation, asset quality, and prudent financial management have supported the upgrade.
The Bank, along with its subsidiaries, is recognized as a leader in Shari’ah compliance, holding a Shari’ah Compliance and Fiduciary Rating of ‘SCFR(PK) 1’ on the national scale from the Islamic International Rating Agency(IIRA)—indicating no material deviations from the national regulatory framework for Shari’ah-compliant finance.
