KARACHI (PR): JCR-VIS Credit Rating Company Limited has reaffirmed the entity ratings of Burj Bank Limited (Burj) at ‘A/A-1’ (Single A/A-One). Outlook on the ratings is ‘Stable’.

Ratings take into account the financial profile of Islamic Corporation for Development of the Private sector (ICD), one of the major shareholders of the bank. Shareholders have recently resolved to inject fresh capital into the bank to enhance paid up capital (free of losses) to Rs 6b by September 2013.

This is likely to create room for growth in core business activities, which is constrained by the high level of Capital Adequacy Ratio required to be maintained by the State Bank of Pakistan. With a CAR of 22.5pc at end-Dec’12 and net NPLs in relation to tier-1 capital also within manageable limits, the bank continues to depict sound risk absorption capacity.