(The following statement was released by the rating agency)
Dec 10 - Fitch Ratings has affirmed Indonesia-based PT Bank Syariah Mandiri’s (BSM) National Long-Term rating at ‘AA+(idn)’ with a Stable Outlook and its subordinated debt at ‘A+(idn)'. The ratings have simultaneously been withdrawn as they are no longer considered by Fitch to be relevant to the agency’s coverage. Fitch will no longer provide analytical coverage or ratings of BSM.
The ‘AA+(idn)’ rating reflects BSM’s strong support from 99.9% parent Bank Mandiri (‘BBB-'/‘AAA(idn)'/Stable), in case of need. This is based on BSM’s strategic importance to Mandiri in expanding its Islamic banking business in Indonesia. Fitch view on support is also reinforced by the risk management integration between the two entities as well as by financial and technical support from Mandiri.