Kashf Microfinance Bank's ratings maintained

JCR-VIS Credit Rating Company Limited (JCR-VIS) has maintained the medium to long-term and short-term ratings of Kashf Microfinance Bank Limited (KMBL) at 'BBB' (Triple B) and 'A-3' (A-Three), respectively. KMBL has faced a difficult economic environment during initial years of operations with accumulated losses reducing capital to Rs 350.5 million (FY09: Rs 524.8 million) in FY10.
While capital adequacy ratio at 38 percent is considerably higher than the regulatory level, equity remains below the Minimum Capital Requirement (MCR) of Rs 500 million for FY10 for which the bank has obtained an extension from SBP till June 30.-PR