IslamicFinance.de

KFH's IDRs (Issuer Default Rating) and Support rating reflect Fitch's view that there is an extremely high probability that the bank would receive support from the Kuwaiti authorities, if required. This view is based on the State's strong history of supporting local banks, KFH's government-related shareholders and its systemic importance. Downside risk to the IDRs is limited, as the Long-term IDR is at the Support Rating Floor. Any change in the IDRs would reflect a change in Fitch's view of Kuwait's ability and willingness to support KFH, which is considered unlikely. The Individual rating reflects KFH's dominant franchise, strong customer funding base and adequate capitalisation, as well as its weak performance and asset quality indicators, high sector concentrations and the difficult operating environment in Kuwait.