Fitch revises outlook on HSBC Bank Oman to stable

BUSINESS REPORTER

International ratings agency Fitch Ratings has revised the Outlook on HSBC Bank Oman SAOG’s (HBON) Long-Term Issuer Default Rating (IDR) to Stable from Negative and affirmed the IDR at ‘BB’ and Viability Rating (VR) at ‘bb-‘.

The rating actions follow similar action on the Sultanate of Oman’s sovereign rating on December 20, 2021. Fitch has also revised its outlook on the Omani operating environment score to stable from negative.

“The latter reflects our view that pressures on the operating environment from the pandemic and lower oil prices have eased sufficiently, and that despite these pressures, the bank’s financial metrics have been resilient in the past quarters,” Fitch said.

“Fitch has withdrawn HBON’s Support Rating as it is no longer relevant to the agency’s coverage following the publication of its updated Bank Rating Criteria on 12 November 2021. In line with the updated criteria, we have assigned HBON a Shareholder Support Rating (SSR) of ‘bb’,” the agency further added.