Gulf Finance retains BB rating with stable outlook

In its rating report, the rating committee of Capital Intelligence highlighted the low level of non performing loans, adequately capitalised balance sheet and the management capability as the rational for the rating decision.

Mr. Majid Al Ghurair, Chairman of Gulf Finance commented:

"The rating reiterates the solidity of Gulf Finance's business model and its ability to withstand the effects of the current market conditions. Gulf Finance has a successful track record in facilitating straightforward access to capital for small and medium sized enterprises, a business segment which is vital for the continued economic prosperity of the United Arab Emirates."

Mr. Steve Williams, Chief Executive Officer of Gulf Finance commented: "We are delighted that Gulf Finance has maintained its current BB credit rating against a backdrop of rating downgrades within the financial services sector. The stable outlook on the rating is a testament to the quality of the business we have built, the robustness of our balance sheet and the team we have put in place. Gulf Finance has shown tremendous tenacity in dealing with the impact of the current financial crisis and we remain confident in the positioning of our franchise."

Mr Williams continued: "Our 'BB' credit rating will provide further comfort to our funding providers, in turn enabling the business to build on its position as the transactional lender of choice to the UAE's small and medium sized business market. Over time we aim to bring our model of transparency, simplicity and expert deal execution to other GCC markets."

Gulf Finance is a boutique finance company focused on serving the funding needs of the UAE small business market along with the requirements of niche consumer segments. The business was established in 1998 and was first rated by Capital Intelligence in 2008. Gulf Finance is one of the few finance companies in the GCC region to carry a corporate credit rating.