RAM Ratings placed Hong Leong Bank Bhd. and unit Hong Leong Islamic Bank Bhd.'s AA1/P1 financial institution ratings on positive outlook, as Hong Leong Bank has exhibited a track record of excellent asset quality throughout credit cycles.
The positive outlook also reflects the bank's sturdy funding and liquidity profile, a stronger capital position and strong domestic retail and SME business banking franchises. The agency expects the bank to maintain these metrics amid upcoming economic challenges.
Similarly, Hong Leong Islamic Bank's prudent credit-underwriting standards also underscored its excellent asset quality. The agency expects the unit to have ready parental support given the bank's role as the Islamic banking arm of Hong Leong Financial Group.