Boost for QIIB after Fitch upgrades rating to stable

These the bank said “underlines the strength of the Qatari economy, ofwhich the bank is part of, and has based its various strategicoperations and plans on.”“The upward rating reflects Fitch’s view that Qatar has successfullymanaged the fallout from last year’s rupture of trade, financial anddiplomatic relations with the quartet of Arab nations,” QIIB said in arelease last night.“Public sector liquidity injections have stabilised the country’sbanking sector and stemmed the outflow of non-domestic funding”, FitchRatings said.“Qatar’s fiscal deficit has narrowed sharply and Fitch expects it toturn into a surplus in 2019. The economy has reconfigured its supplychains and continues to grow at a robust pace. There has been noescalation of measures against Qatar,” the international rating agencysaid. On the Fitch Ratings, QIIB chief executive officer Dr Abdulbasit Ahmadal-Shaibei said: “The QIIB rating at this high level, with a stableoutlook, reflects the strength of the Qatari economy, which provides anincredible thrust to its banking sector that has proven to be highlyefficient and resilient to the challenges and various market factors atwork.”“In the world of Islamic finance, we have established our financialposition for many years. We have been able to be an active part of thebanking market, locally and abroad. Our financial position has grownsignificantly over the past years and we have benefited immensely fromthe rich opportunities being offered by the Qatari economy. “The Qatari economy is considered one of the most efficient globaleconomies, and this has been recognised and endorsed by experts, as wellas attested by the country’s measurable growth figures.”Dr al-Shaibei said: “Our financial results at the end of 2017 and thefirst quarter of 2018 confirm that these are consistent with thedevelopment of the dynamic Qatari economy. Our net profit in the firstquarter (Q1) of 2018 has grown beyond 7% and we have made a continuousimprovement in several key financial indicators. Fitch’s ratingsaffirmation and stable outlook are a natural reflection of these.”“The bank will continue to focus on the local market and contribute tothe financing of various projects, especially those vital to thedevelopment of the Qatar National Vision 2030. And the bank ispositively considering viable foreign investment opportunities thatbenefit QIIB and its shareholders alike.”Dr al-Shaibei expressed his confidence that Islamic banking inparticular and the Qatari banking sector in general will maintain itsupward growth trajectory.