RAM Ratings upgrades RHB Banking Group to AA1

RAM Ratings upgrades RHB Banking Group to AA1

The RHB Bank logo is seen at its branch in Kuala Lumpur in this September 4, 2013 file photo. — Reuters pic

Wednesday, 21 Sep 2022 5:32 PM MYT

KUALA LUMPUR, Sept 21 — RAM Rating Services Bhd (RAM Ratings) has upgraded the long-term financial institution ratings of RHB Bank Bhd and its subsidiaries RHB Islamic Bank Bhd and RHB Investment Bank Bhd from AA2 to AA1 with a stable outlook.

RHB’s group managing director and chief executive officer Mohd Rashid Mohamad said the recent upgrade follows the upward revision of the group’s positive rating last year, and reflects the group’s continued business resilience, strong fundamentals and robust business strategies.

“Our financial performance remained resilient for the first half of 2022.

“Gross impaired loans ratio stood at 1.62 per cent as at June 30, 2022 and for the remainder of the year, we expect this to remain below 1.7 per cent,” he said in a statement today.

Additionally, he said the group’s common equity tier-1 capital ratio stayed robust at 16.6 per cent as at end-June 2022, the highest in the industry.

He said the execution of its new Together We Progress 24 (TWP24) strategy continues to gain good traction, notably in the three priority areas, namely, integrating key Islamic ecosystems as a new growth engine; building an integrated overseas business, and driving service excellence by building next generation customer service experience. — Bernama