...Arab National Bank's (ANB) Long-Term Issuer Default Ratings (IDRs) and National Rating are driven by potential support from the Saudi Arabian authorities, as reflected by its Government Support Rating (GSR) of `a-'. ANB's GSR is in line with that of other Fitch-rated Saudi banks, reflecting Fitch Ratings' view of the authorities' strong ability and willingness to support domestic banks irrespective of size, franchise, funding structure and level of government ownership. ANB's VR reflects the bank's reasonable domestic franchise and balanced business model, with good market shares, strong capitalisation, sound funding, liquidity and asset-quality metrics, and reasonable profitability. It also reflects high concentration risks. Favourable Operating Environment: High government spending and the strategy to diversify the economy as part of the authorities' Vision 2030 and healthy non-oil GDP growth provide Saudi banks with solid business growth opportunities. We expect Saudi banks to continue...
