Fitch, the global rating agency, has affirmed Long-Term Issuer Default Ratings (IDR) of 10 Nigerian banks at ‘B’ with a stable outlook.
In a fresh report obtained from its website, the global rating agency listed the 10 lenders to include: Zenith Bank Plc, Access Bank Plc, Guaranty Trust Holding Company Plc (GTCO), Ecobank Transnational Incorporated, Stanbic IBTC, United Bank for Africa, First City Monument Bank, Sterling Bank, Wema Bank and Fidelity Bank.
The agency said it has withdrawn Support Rating and Support Rating Floor as they are no longer relevant to Fitch’s coverage following the publication of its updated Bank Rating Criteria on November 12, 2021.
In line with the updated criteria, “We have assigned a Government Support Rating (GSR) of ‘no support’’ (ns),” it stated.
For Zenith Bank, Fitch also affirmed National Long-Term Rating at ‘AA-(nga)’ and Viability Rating (VR) at ‘b’.
It noted that Zenith’s Long-Term IDR is driven by its standalone creditworthiness, as expressed by its VR, among other reasons.
The agency upgraded Fidelity Bank Plc’s Long-Term Issuer Default Rating (IDR) to ‘B’ from ‘B-’. The outlook is stable. The upgrade reflects Fidelity’s improving business profile and resilient financial metrics.
Fitch also upgraded Fidelity’s National Long-Term Rating to ‘A(nga)’ from ‘BBB+(nga)’, reflecting the bank’s increased creditworthiness relative to other issuers in Nigeria. A full list of rating actions is below.
