Brac Bank retains Moody’s Ba3 credit rating
This is the fourth consecutive year that the bank has obtained the highest credit rating from this internationally renowned rating agency
Brac Bank has once again achieved the rating "Ba3" - highest for any Bangladeshi bank rated by Moody's Investor Service.
This is the fourth consecutive year that the bank has obtained the highest credit rating from this internationally renowned rating agency.
According to Moody's, the affirmation of the bank's rating reflects strong asset quality compared with those of its industry peers, robust profitability and capitalisation, driven by its competitive advantage in the higher-yielding small and medium-sized enterprise (SME) segment, and stable funding profile and liquidity.
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Moody's statement also mentions that the bank's credit strengths are built on stable funding and liquidity, supported by its good reputation and sizable distribution network as well as its strong capital base - highest among the Bangladeshi banks they rate.
Commenting on the issue, Selim RF Hussain, managing director of Brac Bank said the bank stands on solid ground for its business model- driven by good governance, transparency, and value-based banking.
Brac Bank is primarily funded by deposits, which constituted 81 percent of the bank's total liabilities as of 2019, Moody's also mentioned.
"Our customers have always shown their unwavering trust for us and we have always been active to ensure reciprocation of the trust in our strategies and performance matrices. We not only have a wide network and strong franchise but are backed by a diversified, dedicated, and talented set of human resources," Selim RF Hussain said.
It is here mentionable that Brac Bank now stands as the only Bangladeshi bank to maintain the sovereign rating standard of Ba3 for four consecutive years.
