...Support Drives IDRs: Kuwait International Bank's (KIB) Issuer Default Ratings (IDRs) are driven by an extremely high probability of support from the Kuwaiti authorities, if needed. This considers Kuwait's strong capacity to support the banking system and its record of supporting its domestic banks. The Viability Rating (VR) reflects the bank's small, but growing, domestic franchise, concentrated balance sheet, volatile asset quality, variable profitability, high reliance on wholesale funding and only adequate capitalisation. The VR also factors in the bank's well managed liquidity, as well as a fairly stable operating environment in Kuwait. Stable Operating Environment: KIB continues to benefit from a fairly stable operating environment in Kuwait despite the economic impact of lower oil prices. Nominal Franchise: KIB has a nominal but growing franchise in Kuwait with a 3.6% market share of domestic assets at end-1H18. The bank has a corporate-oriented business model, with a particular focus...
