March 26, 2003	Wednesday	Muharram 22, 1424

LAHORE, March 25: The Pakistan Credit Rating Agency (Pacra) has upgraded the long-term entity rating of Fidelity Investment Bank Limited to “BBB+” (triple B plus) and maintained the short-term entity rating at “A2” (A two).

The entity ratings are applicable to senior unsecured creditors of the bank, according to a Pacra announcement issued here on Tuesday. The ratings indicate a low expectation of credit risk and adequate capacity for timely payment of financial commitments.

While updating the ratings, the announcement said, Pacra had taken note of the FIBL’s improved risk absorption capacity emanating from an expanding equity base through internal generation and higher contribution to net earnings through increased treasury and capital market operations. The ratings also recognize the bank’s exposure to volatility risk owing to sizable investment in equities which is though mitigated by unrealized appreciation and good quality portfolio.

FFLM: Pacra has assigned long-term and short-term credit ratings of “BBB+” (triple B plus) and “A2” (A two) to the First Fidelity Leasing Modaraba.

The ratings indicate a low expectation of credit risk and adequate capacity for timely payment of financial commitments.

FFLM’s ratings reflect a high risk absorption capacity emanating from a large proportion of equity in total assets and maintained performance.