Majority ownership by the Abu Dhabi government. Strong domestic commercial position. Robust profitability and strong capital adequacy. Resilient asset quality. Large concentration risks on both sides of the balance sheet. High exposure to the real estate and construction sectors. Narrow domestic market with increasing competition. The ratings on National Bank of Abu Dhabi (NBAD) reflect its majority ownership by and strong relationship with the government of the oil-rich Emirate of Abu Dhabi (AA/Stable/A-1+), its strong domestic commercial position, robust profitability, strong capitalization, and adequate asset quality. The ratings are constrained by large single-name concentrations on both sides of the balance sheet, its high exposure to the real estate and construction sectors, and a narrow domestic market with increasing competition. NBAD
