...Standalone Strength Drives IDRs: Ahli Bank S.A.O.G's (ABO) Issuer Default Ratings (IDRs) are based on its Viability Rating (VR) and underpinned by potential sovereign support. The VR reflects the bank's tight liquidity, moderate domestic franchise and high concentration on both sides of the balance sheet. It also considers the bank's depth of senior management, sound asset quality, stable profitability and satisfactory capital buffers. Tight Funding and Liquidity: ABO's VR is constrained by its weaker funding profile, greater reliance on wholesale markets and tighter liquidity than its peers', as well as its high deposit concentration. Fitch Ratings expects funding to remain tight in 2018 despite the relatively stable deposit base. Customer deposits account for most (85% at end-3Q17) non-equity funding. These deposits are domestic and mainly in local currency. We view ABO's liquidity as being tight given a low stock of liquid assets relative to total assets and customer deposits. Moderate...
