The International Rating Agency MOODY’S, upgraded KFH rating from Baa2 to A3 and from P-3 to P-2. This highly reputable rating agency which is considered as the largest international rating agency to evaluate and classify financial institutions, confirmed in its report that the positive outlook concerning financial adequacy reflects the positive impact of developments on KFH activities. The agency said that the decline in KFH operating costs is considered as a significant and fundamental merit that characterizes KFH, which provides multiple services and products in various fields. Meanwhile the agency reiterated that the continuing growth and development in local and foreign investments is leading to the development of the risk diversification facts and reinforcing of expansion and profitability opportunities. Mr. Jassar Dakheel Al-Jassar, GM – KFH, expressed his satisfaction about this new rating, thus confirming that this rating proves the integrity of the strategic tendencies and highlights the success and accomplishments achieved by KFH. This rating is considered as an appreciation of the level, which Islamic banking has reached. He said that the rating acquires its significance from the fact that it is issued by Moody’s as a highly reputed rating agency and that its issued in a very critical time for KFH, stepping into one of its significant development stages , especially after sanctioning the Islamic Banking Law. Mr. Al-Jassar confirmed that KFH is well prepared to face any competitions or challenges, thus highlighting the significant diversified capabilities which KFH owns. KFH experience through the years has enabled it to deal effectively with various challenges in Sharia compliant method and in accordance with unique international standards that meet the expectations of its customers. Mr. Al-Jassar indicated that the concept of institutional globalization does not only mean international expansion but also to subject all services, products and activities to international standards. These fundamental factors have qualified KFH to be awarded international prizes and ratings. He added that this distinguished international rating has followed six grand international awards and prizes awarded to KFH recently. KFH received ratings from Moody’s. Capital Intelligence, Fitch and Hermz in addition to the Islamic bank of the year prize from Euromini as well as the first position in achieving the economic added value among GCC financial institutions. Qualitative Investments Mr. Al-Jassar highlighted the capability which KFH showed recently in implementing an unprecedented qualitative investment policy, which is said to be based on the application of capabilities, experience and adequacy. He emphasized that KFH has confidently and strongly entered new investment fields such as Aircraft finance leasing although this field has nether been experimented by Islamic financial institutions nor by conventional institutions in the region. This field has succeeded in providing multiple investments. Mr. Al-Jassar said that KFH has broken the common understanding that Islamic banks concentrate on Murabaha transactions only. KFH has opened the door for other Islamic finance products, i.e. Ijara, in which it has applied half the volume of funds provided by all Islamic financial institutions. In general. KFH has developed this product to include strategic commodities. In fact, most of KFH facilities are provi