MOODY'S Investors Service has assigned credit ratings below investment grade to four Pakistani banks, citing worries about capital adequacy and asset quality. It has also put some ratings for Qatari banks on review for possible upgrade.
The US agency gave also gave financial strength ratings of E+ to National Bank of Pakistan and Muslim Commercial Bank and E to United Bank Limited and Habib Bank. In the case of the latter two, Moody's said there might be an eventual need for outside assistance (see Pakistan).
Moody's said on 4 October that it may upgrade the long-term deposit ratings of Commercial Bank of Qatar, Doha Bank and Qatar National Bank, which currently stand at Ba2. The three banks' short-term ratings, which are speculative grade, and their financial strength ratings, are not affected by the review.
The announcement came after Moody's put Qatar's sovereign ceiling for both long-term and short-term investments under review for possible upgrade in September. Moody's said the review was due to further concrete developments in Qatar's gas export plans.
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