Fitch Ratings has affirmed Arab Banking Corporation Tunisie’s (ABC Tunisie) Long-Term National Rating at ‘AA+(tun)’ with Stable Outlook and Short-Term National Rating at ‘F1+(tun)’.
ABC Tunisie’s National Ratings are driven by potential support from its parent, Bahrain’s Arab Banking Corporation B.S.C. (ABC; BB+/Stable), which owns 100% of ABC Tunisie’s share capital. Bank ABC’s national ratings are the highest among Tunisian issuers rated by Fitch.
The Stable Outlook on the Long-Term National Rating reflects Fitch’s assessment that upside and downside risks for ABC Tunisie are equally balanced relative to other Tunisian issuers’.
Fitch said ABC Tunisie represents less than 1% of ABC’s assets and its contribution to group profits remains modest. It believes that ABC’s ability to support ABC Tunisie is high given ABC Tunisie’s small size, but, in our opinion, its propensity to do so may be lower because of ABC Tunisie’s limited role in the group.
However, high levels of management and operational integration between the two entities suggest continued commitment to ABC Tunisie.
