The JCR-VIS Credit Rating Company Limited (JCR-VIS) has upgraded the medium- to long-term entity rating of Escorts Investment Bank Limited (EIBL) from 'A-' (single A minus) to 'A' (single A) with a 'stable' outlook. Short-term rating has been maintained at 'A-2' (A-two). According to a press release issued by the JCR-VIS, the upgrade takes into consideration the commitment of main sponsors of the EIBL to contribute towards future enhancement of the bank's equity.

This injection will increase the bank's loss absorption capacity. The institution has also diversified its business over the last financial period. A degree of interest rates risk is present and will be monitored in an environment of increasing rates.-PR

Copyright Business Recorder, 2005