The Pakistan Credit Rating Agency (PACRA) has maintained the long-term and short-term entity ratings of Soneri Bank Limited at “AA-“(Double A minus) and “A1+” (A one plus), respectively. These ratings denote a very low expectation of credit risk emanating from a very strong capacity for timely payment of financial commitments. The rating of unsecured, subordinated TFC issue of Rs1,200 million has also been maintained at “A+” (Single A plus). The rating denotes a low expectation of credit risk emanating from a strong capacity for timely payment of financial commitments. The ratings reflect SBL’s gradual, yet modest increase in system share, while improving the risk management infrastructure of the bank. The ratings also recognise recent reorganisation of the bank to emerge as a modern and technology oriented bank, in turn, supporting its plans to enhance participation in transactional trade financing and low cost deposit mobilization. However, despite its cautious credit expansion policy, SBL witnessed significant deterioration in asset quality, mainly on account of weak socio-economic environment. Cognizant of this, the management is making recovery efforts against existing infected portfolio. Nevertheless, the bank maintains good liquidity profile and adequate risk absorption capacity.