January 3, 2003	Friday	Shawwal 29, 1423

KARACHI, Jan 2: JCR-VIS credit rating company Ltd. has reaffirmed the medium to long term entity rating of triple B minus and short-term rating of A-3 assigned to First Paramount Modaraba (FPM). The outlook on these ratings is stable, says a press release.

The rating reaffirmation takes into account the strong liquidity position of the modaraba in relation to its debt obligations as well as quality of its morabaha portfolio.

The management is making conscious efforts to diversify its earning base further by exploring new avenues of business.

“However, JCR-VIS’s primary area of consideration remains the limited access to outside funds due to lack of Shariah compliant modes of borrowings in the Pakistani debt market. Some concern also exists in view of the entry of commercial banks in the Islamic banking that will pose significant competition for the modaraba sector.”