...VR Drives IDRs: Arab Bank Plc's (AB) Issuer Default Ratings (IDRs) are driven by its standalone strength, as reflected by its Viability Rating (VR). The VR reflects AB's adequate capital ratios, strong funding and well-managed liquidity. It also considers exposure to less stable MENA markets, deterioration in asset quality and pressure on profitability and capital. The Negative Outlook reflects Fitch Ratings' assessment that the coronavirus pandemic will add pressure to AB's financial profile as well as to the domestic and regional operating environment. It also reflects the Negative Outlook on the Jordanian sovereign rating (BB-/Negative), which constrains the bank's rating at its current level. VR Not Capped by Sovereign: AB's VR is above Jordan's sovereign rating as Fitch believes the bank's strong capital and liquidity could weather a sovereign default. The bank's strong geographical diversification in the Gulf Cooperation Council (GCC) and outside the MENA region, strong asset quality...
