Fitch Ratings Ltd:
* FITCH SAYS UAE ISLAMIC BANKS SEE HIGHER RETURNS, WEAKER ASSET QUALITY
* FITCH SAYS EXPECTS FINANCING GROWTH AT ISLAMIC BANKS TO CONTINUE TO OUTPACE CONVENTIONAL BANKS, AS SEEN IN 2017
* FITCH SAYS FUNDING AND LIQUIDITY FOR ISLAMIC BANKS CONTINUED TO IMPROVE
* FITCH SAYS BELIEVES ISLAMIC BANKS' RESERVE LEVELS ARE ADEQUATE AT 5% OF GROSS FINANCING, SLIGHTLY BELOW CONVENTIONAL BANK LEVELS
* FITCH SAYS SLOWING FINANCING GROWTH AND INCREASING PORTFOLIO SEASONING WILL ALSO BE A FACTOR AFFECTING ASSET QUALITY OF ISLAMIC BANKS
* FITCH SAYS VIEWS ISLAMIC BANKS' CAPITALISATION AS MERELY ADEQUATE
Source text for Eikon: ID:nFIT75Mvhl
((Reuters.Briefs@thomsonreuters.com;))