Press Release

JCR-VIS Upgrades Entity Ratings of Sindh Bank Limited JCR-VIS Upgrades Entity Ratings of Sindh Bank Limited

Karachi, December 23, 2014: JCR-VIS Credit Rating Company Ltd. (JCR-VIS) had assigned Positive Outlook to the entity ratings of Sindh Bank Limited (SBL) in June 2014. Following a recent review, JCR-VIS has upgraded the entity ratings of SBL from ‘AA-/A-1+’ (AA Minus/A-One Plus) to ‘AA/A-1+’ (AA /A-One Plus). Outlook on the assigned rating is Stable. The previous rating action was announced on June 30, 2014.

In just four years of operations, the bank has established significant outreach, with a network of 203 branches (including 8 sub-branches) by end September 2014. This is likely to contribute positively to the bank’s ability to pursue broad based growth in deposits, which have continued their upward momentum in the on-going year. Loan portfolio has also depicted growth, with portfolio quality continuing to remain intact. The bank continues to maintain sizeable exposure in commodity related sectors.

SBL was established by the Government of Sindh, with a paid-up capital of Rs. 10b. The capital base has augmented further over time on the back of consistent profitability; profit for the on-going year is expected to be higher than the preceding year, given the bank’s performance in the first nine months.

For further information on this rating announcement, please contact the undersigned (Ext: 507) or Ms. Sobia Maqbool, CFA (Ext: 604) at 021-35311861-70 or fax to 021-35311873.

Jamal Abbas Zaidi
Deputy CEO

Applicable Rating Criteria: Commercial Banks (December 2001)

Information herein was obtained from sources believed to be accurate and reliable; however, JCR-VIS Credit Rating Company Limited (JCR-VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. JCR-VIS, the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report. JCR-VIS is not an NRSRO and its credit ratings are not NRSRO credit ratings. JCR-VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2014 JCR-VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to JCR-VIS.

JCR-VIS Credit Rating Company Limited