KARACHI: The Pakistan Credit Rating Agency (Pacra) has upgraded Soneri Bank’s long-term entity rating to AA from AA-, citing a stronger funding profile, improved profitability and growth in trade finance activities.
The agency reaffirmed the bank’s short-term rating at A1+, according to a statement issued on Thursday.Pacra said the upgrade reflects a sustained improvement in the bank’s deposit mix, with growth in low-cost current and savings accounts helping strengthen its funding base and support margins.
The rating agency also noted continued growth in earnings, driven by higher net markup income and an increase in fee and commission revenues. Trade finance remained a key contributor, with foreign trade volumes more than doubling over the past five years, supporting gains in market share.
Pacra further highlighted improvements in asset quality, with the bank’s infection ratio falling to its lowest level in more than a decade and coverage ratios strengthening.The agency also pointed to Soneri Bank’s investments in digital banking platforms, payment systems and core banking infrastructure, alongside the expansion of its branch network and Islamic banking operations.The credit agency said the bank’s three-year strategy focuses on digital adoption, business growth, market expansion and further development of its trade finance franchise.
