Fitch Ratings affirms Bank of Sharjah at "BBB+"

For the second year in a row, Fitch Ratings has affirmed UAE-based Bank of Sharjah P.J.S.C.'s Long-Term Issuer Default Rating (IDR) at 'BBB+' with a Stable Outlook

Bank of Sharjah is a well-established banking institution in the United Arab Emirates, particularly in the Emirate of Sharjah, and has a strong presence in the local banking sector. It enjoys wide privileges thanks to its close relationship with companies and government projects in the Emirate of Sharjah, in addition to the diversified business community in the UAE.

Bank of Sharjah also benefits from stable and moderate customer deposits, which provides the bank's funding liquidity. The bank deposit financing is complemented by non-asset backed priority bond issuance, demonstrating proper access to capital markets when necessary. The liquidity position of the Bank of Sharjah is sound, as its net liquid assets covered 26% of total customer deposits at the end of the third quarter of 2021.

Varouj Nerguizian, Group CEO of the bank, said that "Fitch's affirmation of Bank of Sharjah's rating at the BBB+ is evidence of the Bank of Sharjah position as a leading banking institution keen to provide customers with high-quality banking services. This success reflects the high confidence that shareholders and customers place in work and the dedication of the bank’s teams in performing their tasks. 

Varouj Nerguizian concluded that the Bank of Sharjah has been able to overcome various financial crises during the recent years without being significantly affected. These successes provide evidence of the effective participation of the bank's board of directors and its senior leadership and applying good governance strategies.