NBD merged with Emirates Bank International (EBI) on 6 March 2007, to form Emirates NBD. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. View 4,000+ financial data types. Copyright © 2020 Zawya. Fitch's view of support factors in the sovereign's strong capacity to support the banking system, sustained by sovereign wealth funds and recurring revenue, mostly from hydrocarbon production, despite lower oil prices, and the moderate size of the UAE banking sector in relation to the country's GDP. DIRECTORS AND SHAREHOLDERS RELEVANT INTERESTS ARE AVAILABLE AT . Mashreq Bank Positioning A UAE bank offering financial services to millions of customers and businesses since 1967. In 2013, BZ WBK merged with Kredyt Bank, making Bank Zachodni WBK Poland’s third-largest bank in terms of market share. Fitch Ratings, Inc. is registered with the U.S. Securities and Exchange Commission as a Nationally Recognized Statistical Rating Organization (the "NRSRO"). Bank capital ratios are solid and a number of banks issued new Tier 1 and Tier 2 type capital securities in 2016 as part of the Basel III framework. Quickly uncover hidden opportunities with comprehensive data and content. It also reflects sizeable concentrations in the deposit base and is somewhat constrained by a more limited market share and size than some domestic peers. Source: Bloomberg Data as of July 2020 H1 2020: GO BIG, GO EARLY AND UNCONDITIONAL POLICY RESPONSE. The bank's loan book remains concentrated, albeit less than the peer average, with the 20 largest names accounting for 26% of gross loans and 0.9x Fitch Core Capital (FCC) at end-2017. IDRS, SUPPORT RATING (SR) AND SUPPORT RATING FLOOR (SRF). (The following statement was released by the rating agency). Dodd-Frank Rating Information Disclosure Form. Reproduction or retransmission in whole or in part is prohibited except by permission. An upgrade would require a stronger franchise and further improvement in asset quality. Mashreq is the fifth-largest bank in the UAE, with a 6% market share of total system assets at end-2019. Start your Free Trial. Qatar National Bank (QNB) occupies the first place in the list. 33 Whitehall Street, NY, NY 10004. Revenue: $5 to $10 million (USD) Competitors: Accenture, Société Générale, Deloitte Create Comparison. This has been demonstrated by the UAE authorities' long track record of supporting domestic banks, as well as close ties with and part government ownership links to a number of banks. On 16 October 2007, the shares of Emirates NBD were officially listed on the Dubai Financial Market (DFM). In 2015, about 24% of assets were in purely Islamic banks, 40% in hybrid banks and 36% in conventional banks. The assignment, publication, or dissemination of a rating by Fitch shall not constitute a consent by Fitch to use its name as an expert in connection with any registration statement filed under the United States securities laws, the Financial Services and Markets Act of 2000 of the United Kingdom, or the securities laws of any particular jurisdiction. The manner of Fitch’s factual investigation and the scope of the third-party verification it obtains will vary depending on the nature of the rated security and its issuer, the requirements and practices in the jurisdiction in which the rated security is offered and sold and/or the issuer is located, the availability and nature of relevant public information, access to the management of the issuer and its advisers, the availability of pre-existing third-party verifications such as audit reports, agreed-upon procedures letters, appraisals, actuarial reports, engineering reports, legal opinions and other reports provided by third parties, the availability of independent and competent third- party verification sources with respect to the particular security or in the particular jurisdiction of the issuer, and a variety of other factors. Loans and Advances increased by 3.0% in the quarter to end at AED 60.2 billion. Mashreq's VR is sensitive to weakening asset quality affecting the bank's capital ratios. All data and information provided on this site is for informational purposes only. Mashreq's IDRs, SR and SRF are sensitive to a change in Fitch's view of the creditworthiness of the UAE authorities and on their propensity to support the banking system or the bank. Nevertheless, Mashreq's credit cards book is showing signs of stress as loans with 2013/2014/2015 vintages start to season and the bank holds significant amounts of restructured loans (5.3% of loans at end-2017), notably from Dubai government-related exposures. Mashreq's IDRs, SR and SRF reflect an extremely high probability of support available to the bank from the UAE authorities if needed. Capital ratios improved in 2017 due to a drop in RWAs pertaining to a change in risk weights for subsidiaries under Basel III and collateral optimization. Mashreq Bank: Executive Appointment: Mashreq names new Group Head of … Media Relations: Peter Fitzpatrick, London, Tel: +44 20 3530 1103, Email: peter.fitzpatrick@fitchratings.com. The information in this report is provided “as is” without any representation or warranty of any kind, and Fitch does not represent or warrant that the report or any of its contents will meet any of the requirements of a recipient of the report. The bank employs 209,000 people and serves about 50 million retail and small business customers through 4,600 branches and 16,000 ATMs. The individuals are named for contact purposes only. The bank successfully cleaned up its large portfolio of small of medium size corporates in 2016-2017 and the impaired loan ratio has stabilised around 3.4%. Our branch network extends across the UAE with one in every two households in the UAE banking with us. Mashreq's profitability remains healthy but slightly below the peer average. The ratings of the senior unsecured notes issued directly by the bank are subject to the same sensitivities as the bank's IDRs. Ratings may be changed or withdrawn at any time for any reason in the sole discretion of Fitch. The bank is positively geared for interest rate hikes and the impact of lower margins is offset by the bank's large share of non-interest income, high proportion of CASA deposits and by the bank's cost efficiency. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE, AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE CODE OF CONDUCT SECTION OF THIS SITE. Risky assets recouped almost half of their losses very quickly Recovery has been uneven and relatively defensive PERCENTAGE RETRACEMENT OF ASSET CLASSES TO THEIR 2020 PEAKS. Mashreqbank psc is one of the leading banks in the United Arab Emirates (UAE) with total assets as at 31st Dec, 2005, of AED 45,742million (US$ 12.45billion), making it the largest private bank in the UAE having originally been established as Bank of Oman Ltd in 1967 in Dubai. Emirates NBD was initially formed as National Bank of Dubai (NBD) on 19 June 1963 by then Dubai's ruler Sheikh Rashid bin Saeed Al Maktoum, forming the first national bank established in Dubai. 16/04/2020. Historical Total Assets (Quarterly) Data. Mashreq's margins continued to fall in 2017 as the bank focuses on lower risk/lower return assets. Mashreq has a large stock of liquid assets (cash and equivalents, short-term interbank placements and liquid securities) equivalent to 22% of assets and 36% of customer deposits, providing a good liquidity cushion. Mashreq's capital position remains sound. Telephone: 1-800-753-4824, (212) 908-0500. Mashreq Bank, the Dubai-based lender controlled by the Al Ghurair family, will shed 10 per cent of its workforce of over 4,000 in the next 12 months as investments in artificial technology are lessening its reliance on human resources, its chief executive said. An assessment of Assets and Liabilities under the program revealed that 90 per cent of the respondents had a contingency fund equal to 6 months … Assets and Asset quality. Individuals identified in a Fitch report were involved in, but are not solely responsible for, the opinions stated therein. Mashreq Asset Management. Due to the relative efficiency of electronic publishing and distribution, Fitch research may be available to electronic subscribers up to three days earlier than to print subscribers. Mashreq Bank Target Market Private individuals, large corporate, SME’s and financial institutions. The Top 10 banks also include four banks from United Arab Emirates, four banks from Saudi Arabia, 1 bank from Kuwait and 1 bank from Egypt. CSR. Mashreq's Total Assets increased by 8.8% to reach AED 115.2 billion in 2015, compared to AED 105.8 billion at the end of 2014. Copyright © 2018 by Fitch Ratings, Inc., Fitch Ratings Ltd. and its subsidiaries. * QNB Alahli Bank (S.A.E) (formerly National Societe Generale Bank) is one of the largest private banks in Egypt. This opinion and reports made by Fitch are based on established criteria and methodologies that Fitch is continuously evaluating and updating. Pre-provision operating profits (5.5% of gross loans in 2017) provide significant loss absorption capacity before capital gets impacted. A report providing a Fitch rating is neither a prospectus nor a substitute for the information assembled, verified and presented to investors by the issuer and its agents in connection with the sale of the securities. A full list of rating actions is at the end of this rating action commentary. Mashreq Global Services (MGS) is a wholly owned subsidiary of Dubai-headquartered Mashreq Bank, the oldest private bank in the United Arab Emirates (UAE). Long-Term IDR affirmed at 'A'; Outlook Stable, Senior unsecured debt affirmed at 'A'/'F1'. On a year-on-year basis, Loans and Advances grew by 3.7% driven by 14.0% growth in Islamic finance. All rights reserved. Portfolio Size: 23 borrowing and 104 non-borrowing Customers Asset Base: AED 61M; Achieved AED 93M against annual target of AED 96M Responsible for booking new to bank borrowing relationships Responsible forachieving growth targets involving funded/non-funded assets, NII, foreign exchange and commission revenues. Ratings do not comment on the adequacy of market price, the suitability of any security for a particular investor, or the tax-exempt nature or taxability of payments made in respect to any security. GOVERNMENTS APPLIED LESSONS FROM THE 2008 CRISIS TO MAKE BOLD … All Fitch reports have shared authorship. ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. At end-2018 the bank's Tier 1 regulatory capital ratio was 15.3% (the Fitch core capital (FCC) ratio stood at a lower 15.1%, due to the deduction of insurance net assets) and the total capital adequacy ratio was 16.5%. Founded: 1967. Access the most comprehensive database of companies and officers in the Middle East and North Africa, covering all major sectors and industries, from Refinitiv. 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