Doha: Fitch Ratings has affirmed Qatar International Islamic Bank's (QIIB) Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'A' and its Short-Term IDR at 'F1'. The bank remains on Rating Watch Negative (RWN).

According to Qatar News Agency, Fitch Ratings clarified that the RWN status is not due to any specific issues related to QIIB's financial performance. Instead, it is linked to broader regional risks affecting the operating environment. Fitch highlighted that QIIB's creditworthiness is supported by a strong sovereign baseline, with a high probability of government assistance if required.

The bank's Government Support Rating (GSR) of 'A' reflects the State of Qatar's robust fiscal position, substantial reserves, and significant net foreign assets. Fitch also emphasized QIIB's intrinsic strengths, such as its strong position in the domestic market as a stable Islamic banking pillar.

Fitch noted that QIIB has solid asset quality, growing profitability, and sustainable liquidity levels. A key advantage for QIIB is its low reliance on foreign and non-resident funding, insulating it from global market volatility.

Fitch reported a decline in QIIB's non-performing financing (NPL) ratio to 2.6 percent at the end of Q1 2026, down from 2.9 percent at the end of 2025, due to active recoveries and financing portfolio growth. The bank's non-performing financing coverage ratio increased to 100 percent by the end of Q1 2026.

Dr. Abdulbasit Ahmed Al Shaibei, CEO of QIIB, commented on Fitch's affirmation, stating that the rating serves as proof of the bank's resilience and effective strategies. He emphasized the strong link between QIIB's performance and Qatar's economic strength, which provides support to the banking sector.