Leading domestic retail franchise and pure Islamic bank status. High systemic importance in Saudi Arabia. Very strong capital and profitability metrics. Low geographic diversification and potentially volatile conditions in the domestic oil-related economy. Structural maturity mismatches. The negative outlook on Al Rajhi Bank (ARB) primarily reflects that on Saudi Arabia as well as Standard&Poor's Ratings Services' view of negative economic and industry risk trends. We could downgrade the bank over the next 24 months if we were to downgrade Saudi Arabia further, assuming other factors remain unchanged. We could also downgrade the bank if we see heightened economic risks in the system and if the bank's capital deteriorates, or if it posts higher credit losses than peers. We
