CIMB Islamic receives AAA FI rating from MARC
Additionally, the organization gave an AA+IS to CIMB Islamic’s RM5.0 billion Basel III-compliant Tier 2 Junior Sukuk program and RM2.0 billion Tier 2 Junior Sukuk program.
CIMB Islamic is a wholly owned subsidiary of CIMB Bank Berhad. It acts as the parent company’s banking arm and uses its shared infrastructure and branding. It is the second largest domestic Islamic bank, as solidified by its 10.9 percent market share of Islamic banking assets in end-June 2016.
However, the bank’s financing growth has continued to lag the domestic Islamic banking industry’s average of 12.2 percent growth. MARC notes that this implies a more cautious stance to lending.
The ratings given by MARC signify the credit strength of CIMB Islamic’s parent company, CIMB Bank Berhad. Any future MARC assessment revisions would lead to a change in the bank and its program ratings.