Standard and Poor’s (S&P), one of the world’s leading rating agencies said it has affirmed its credit rating of The Saudi British Bank (SABB). For the second consecutive year, S&P retains SABB’s rating as A/STABLE/A-1 with a stable outlook.
In its report, S&P states: “The ratings on Saudi Arabia-based The Saudi British Bank (SABB) reflect its solid revenue generating capability derived from its good market position, adequate capitalization, good funding and liquidity profile”
“SABB posted a resilient financial performance in 2009, thanks to the increased volume of corporate lending in recent years, good cost control, low cost of funding, and gradual provisioning efforts. The Bank's good revenue generating capability will likely remain a rating strength” S&P’s report added.
“The stable outlook reflects expectation that SABB will maintain its solid earnings stream and favourable market position, while continuing to benefit from HSBC's technical support”, S&P concluded.
Commenting on the affirmation, DavidDew, Managing Director of SABB, said: “we are pleased with S&P’s rating affirmation and the stable outlook. It is an indication of SABB’s prudent risk management and the scale and diversity of our operations, which have enabled the Bank to absorb increased provisions and to counter some of the global economic challenges”.