The Fitch credit ratings agency on Thursday lowered its ratings on 15 banks in the Gulf Cooperation Council area, citing a growing impact of the global credit crisis on the region. Eight banks in Saudi Arabia were among the 15 whose standalone individual ratings were cut by Fitch, though the agency kept the outlook on all the banks at stable, saying the firms have strong government backing. Fitch reviewed the position of 48 banks and non-banking financial institutions in the six-nation GCC alliance. It said it will continue to monitor them in the coming months. “Fitch's outlook for GCC banks has become less favorable as it has become evident that the region's banks and financial institutions will not be able to fully insulate themselves from the global credit crisis,” said Robert Thursfield, a Dubai-based director in Fitch's Financial Institutions group. “GCC banks are now feeling the effects of the crisis which is likely to cause deterioration in banking sector profitability and capitalization going forward,” he added. Fitch's view of the standalone financial strength of many GCC financial institutions, reflected in the Individual rating, has changed as the impact of the global economic crisis spreads into the region. The exposure of GCC banks to the global credit crunch has been reflected in the downgrades of certain GCC financial institution Individual ratings. In addition to its banking downgrades, Fitch reduced its long-term debt rating for Dubai Holding from A plus to AA minus “due to the worsened economic outlook for Dubai and the likely pressure this will put on Dubai's public finances.” However, “the ratings continue to benefit from potential support from the government of Dubai and Dubai's strong position and role within the UAE federation,” Fitch said. Dubai Holding is effectively 97.4 percent-owned by Sheikh Mohammad Bin Rashed Al-Makhtoum, the ruler of Dubai and prime minister of UAE, the agency said. Meanwhile, another credit rating agency, Moody's Investors Service lowered its outlook for four United Arab Emirates banks, trimming its view from stable to negative for Abu Dhabi Commercial Bank, First Gulf Bank and Dubai Islamic Bank and from positive to stable for Dubai Bank. “The rating action reflects the mounting liquidity pressure in the short to medium term, the growing downward pressure on asset prices, mainly stocks and properties, and anticipated profitability pressures,” Moody's said. Several countries in the region, notably Saudi Arabia, Kuwait and the UAE, have guaranteed deposits in national and foreign banks and injected tens of billions of dollars in cash in the financial system. Saudi Arabia led other GCC nations in slashing its interest rates from 5.5 percent in early October to 2.5 percent now. The rating actions are as follows for Saudi banks: Al-Rajhi Banking and Investment Corp: Long-term IDR: affirmed at ‘A+'; Outlook Stable Short-term IDR: affirmed at ‘F1' Individual rating: affirmed at ‘B/C' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A+' Arab National Bank: Long-term IDR: affirmed at ‘A'; Outlook Stable Short-term IDR: affirmed at ‘F1' Individual rating: downgraded to ‘B/C' from ‘B' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A-'(A minus) Bank Aljazira: Long-term IDR: affirmed at ‘A-'(A minus); Outlook Stable Short-term IDR: affirmed at ‘F2' Individual rating: affirmed at ‘C' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A-'(A minus) Banque Saudi Fransi: Long-term IDR: affirmed at ‘A'; Outlook Stable Short-term IDR: affirmed at ‘F1' Individual rating: downgraded to ‘B/C' from ‘B' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A-'(A minus) National Commercial Bank: Long-term IDR: affirmed at ‘A+'; Outlook Stable Senior unsecured debt: affirmed at ‘A+' Short-term IDR: affirmed at ‘F1' Individual rating: downgraded to ‘B/C' from ‘B' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A+' Riyad Bank: Long-term IDR: affirmed at ‘A+'; Outlook Stable Senior unsecured debt: affirmed at ‘A+' Short-term IDR: affirmed at ‘F1' Individual rating: downgraded to ‘B/C' from ‘B' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A+' SAMBA Financial Group: Long-term IDR: affirmed at ‘A+'; Outlook Stable Senior unsecured debt: affirmed at ‘A+' Short-term IDR: affirmed at ‘F1' Individual rating: downgraded to ‘B/C' from ‘B' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A+' Saudi British Bank: Long-term IDR: affirmed at ‘A'; Outlook Stable Senior unsecured debt: affirmed at ‘A' Short-term IDR: affirmed at ‘F1' Individual rating: downgraded to ‘B/C' from ‘B' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A-'(A minus) Saudi Hollandi Bank: Long-term IDR: affirmed at ‘A-'(A minus); Outlook Stable Short-term IDR: affirmed at ‘F2' Individual rating: downgraded to ‘C' from ‘B/C' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A-'(A minus) Saudi Investment Bank: Long-term IDR: affirmed at ‘A-'(A minus); Outlook Stable Short-term IDR: affirmed at ‘F2' Individual rating: downgraded to ‘C' from ‘B/C' Support rating: affirmed at ‘1' Support Rating Floor: affirmed at ‘A