...Sovereign Support Drives IDRs: Attijariwafa Bank's (AWB) Issuer Default Ratings (IDRs) are driven by a moderate probability of support from the Moroccan sovereign (BBB-/Stable). This reflects the bank's domestic systemically important bank (D-SIB) status in Morocco, where it controls a 26% market share. The Stable Outlook mirrors that on the sovereign. Strong Domestic Franchise: AWB has a dominant market share in Morocco's financial services sector with many of its subsidiaries being market leaders. AWB's traditional focus is on servicing large corporates, representing around 47% of the loan book at end-1H19. The bank intends to boost SME lending in Morocco in 2020. It is also focusing on integrating international subsidiaries, rolling out risk tools throughout the group, and developing new retail products. AWB's African subsidiaries represented a quarter of its consolidated assets. Reasonable Asset Quality: The bank's IFRS 9 Stage 3 loans represented 6.7% of gross loans at end-2019. This...
