Pakistani banks demonstrate stability as PACRA retains ratings

June 25, 2024 (MLN): The Pakistan Credit Rating Agency Limited (PACRA) has released its entity ratings for certain members of the banking sector, with all of them maintaining their ratings and showing a stable outlook.

Bank AL Habib Limited (BAHL)

PACRA held Bank AL Habib Limited’s rating steady at " AAA" for long term and "A1+" for short term.

The ratings of the Bank reflect its enduring and sustained emphasis on reinvigorating its relative positioning in the peer universe.

Habib Metropolitan Bank Limited (HMB)

HMB also witnessed its rating unchanged at " AA+" for long term and "A1+" for short term.

The bank along with its formidable position in meeting trade-related needs and being a frontrunner in the industry, offers a full range of Corporate, Commercial, and Retail products and has a strong customer base across these segments.

National Bank of Pakistan (NBP)

NBP was the next in line for which the rating agency aimed to sustain a "AAA" rating for the long term and an "A1+" rating for the short term, similar to the other banks.

NBP displays exceptional strength in the domestic commercial banking sector, underpinned by its solid financial risk profile and a substantial share of the national deposit base, says PACRA .

MCB Bank Limited (MCB)

MCB was also able to maintain an identical rating with a stable outlook forecast.

The ratings reflect MCB's robust market standing, which is bolstered by its well-established brand recognition and extensive outreach. MCB remains one of the leading player in the banking industry. 

On a positive note, PACRA upgraded the rating of its subsidiary MCB Islamic Bank Limited (MCB Islamic) to "A+".

Standard Chartered Bank (Pakistan) Limited (SCBPL)

The retained "AAA" long-term and "A1+" short-term ratings reflect SCBPL’s strong association with the globally renowned and financially sound institution, Standard Chartered PLC.

SCBPL's strategic alignment and operational integration within the parent company enable it to leverage the technical resources and extensive expertise cultivated at the Group level, reinforcing its position as a leading bank in Pakistan's financial landscape.

Soneri Bank Limited (SNBL)

Lastly, as of today, PACRA has issued the ratings for SNBL, which remain at AA- for the long term and A1+ for the short term.

The ratings reflect the astute leadership of Soneri Bank, which has been the driving force behind the bank's sustainable business profile over the years.

Additionally, the Bank has increased its deposit share and the bank is working on the composition of the deposit base and also improving its cost structure.

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