• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Business News

Three Nigerian tier-1 banks get new Fitch Rating

Fikayo Owoeye by Fikayo Owoeye
November 28, 2018
in Business News, Company News
Fitch Ratings
Share on FacebookShare on TwitterShare on Linkedin

Global Rating Agency, Fitch Ratings, has released its credit rating for three tier-1 banks in the country. The banks include United Bank for Africa (UBA), Access Bank and Guaranty Trust Bank Plc (GTBank).

Fitch Ratings upgraded United Bank for Africa Plc’s (UBA) Long-Term Issuer Default Rating (IDR) to ‘B+’ from ‘B’, with a Stable outlook. Also, UBA’s Viability Rating (VR) was upgraded to ‘b+’ from ‘b’. According to Fitch, UBA’s IDRs are driven by its intrinsic creditworthiness, as defined by its VR.

“However, UBA’s VR is constrained by the operating environment in Nigeria (B+/Stable) where the fragile economic recovery restrains banks’ growth prospects and asset quality. The VR reflects UBA’s position as one of Nigeria’s largest banks, as well as its sound financial metrics and reasonable capital buffers. It controls an overall market share in Nigeria of approximately 10% and its well-established franchise is a rating strength.”

RelatedStories

Nigeria’s weak external reserves are a concern – Fitch Ratings

Fitch: Bank loans to government, high CRR put Nigerian Banks at risk 

June 20, 2025
Report: Nigerian banks paying their staff less salaries compared to African peers, blames AMCON 

Report: Nigerian banks paying their staff less salaries compared to African peers, blames AMCON 

June 13, 2025

Access Bank Rating

Fitch Ratings affirmed Access Bank Plc’s Long-Term Issuer Default Rating (IDR) at ‘B’ with a Stable Outlook. The Viability Rating (VR) is affirmed at ‘b’.

According to the Fitch, Access Bank’s VR reflects adequate profitability, although this is weaker than its other immediate peers. Relative earnings weakness reflects a higher cost structure and a modest retail franchise, resulting in a higher cost of funding than its peers.

“Efforts to attract new retail depositors, particularly through digital channels continue. Liquidity ratios are sound, with cash holdings and government securities representing around 40% of total assets.”

Foreign currency refinancing risks for Access Bank have eased with the bank issuing a five-year USD300 million 10.5% Eurobond in October 2016 (issued by Access Finance BV), which partly refinanced a USD350 million 7.25% Eurobond bond maturing in July 2017.

GTBank Rating

Fitch Ratings revised the Outlook on Guaranty Trust Bank Plc’s (GTBank) Long-Term Issuer Default Rating (IDR) to Stable from Negative and affirmed the IDR at ‘B+’. Fitch also upgraded GTB’s Long-Term National Rating to ‘AA(nga) from ‘AA-(nga)’.

The rating noted that GTBank’s IDRs are driven by the bank’s intrinsic creditworthiness as defined by its Viability Rating (VR). GTBank’s VR is the highest assigned by Fitch to a Nigerian bank. The rating further noted that GTBank is one of Nigeria’s largest banks, controlling an overall domestic market share of approximately 11%.

Why the ratings are so important

Credit ratings are used by investors as indications of the likelihood of receiving the money owed to them in accordance with the terms on which they invested. The investment grade and speculative grade have established themselves over time as shorthand to describe the categories ‘AAA’ to ‘BBB’ (investment grade) and ‘BB’ to ‘D’ (speculative grade). The Investment grade categories indicate relatively low to moderate credit risk, while ratings in the speculative categories either signal a higher level of credit risk or that a default has already occurred.

Fitch Ratings is a global provider of credit ratings and research. Founded in 1913, the company is part of the Fitch Group based in New York. It is one of the Big Three credit rating agencies in the world.


Follow us for Breaking News and Market Intelligence.
Tags: Access BankFitch RatingsUnited Bank for Africa (UBA)
Fikayo Owoeye

Fikayo Owoeye

Fikayo has a degree in computer science with economics from Obafemi Awolowo University. ITIL v3 in IT service management. An alumnus of Daystar Leadership Academy. Prior to joining Nairametrics had stinct in Project management, Telecommunications among others. Also training in Consulting and Investment banking from Edubridge Academy. He has very keen interest in Politics, Agri-business, private equity and global economics. He loves travelling and watching football. You can contact him via fikayo.owoeye@nairametrics.com

Related Posts

Nigeria’s weak external reserves are a concern – Fitch Ratings
Financial Services

Fitch: Bank loans to government, high CRR put Nigerian Banks at risk 

June 20, 2025
Report: Nigerian banks paying their staff less salaries compared to African peers, blames AMCON 
Financial Services

Report: Nigerian banks paying their staff less salaries compared to African peers, blames AMCON 

June 13, 2025
Nigerian banks, fintechs set to launch cNGN stablecoin on February 27 
Exclusives

Top 10 Nigerian banks with the highest app downloads as of May 2025  

June 13, 2025
Wema bank
Financial Services

Fitch upgrades Wema Bank’s National Rating to A–(nga), outlook raised to positive 

June 13, 2025
AfreximBank approves $200 million finance facility to BUA Group for expansion projects 
Financial Services

Afreximbank disputes Fitch’s negative outlook, defends financial position in Africa 

June 10, 2025
Africa’s credit rating agency to launch in September as alternative to Fitch, Moody’s 
Economy

Africa’s credit rating agency to launch in September as alternative to Fitch, Moody’s 

June 9, 2025
Next Post
Matrix Energy Limited

Matrix Energy's new investment is solving a major problem

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank








DUNS

Recent News

  • South-West doctors threaten strike over unfavorable allowances, issue 21-day ultimatum to FG
  • 15 things you don’t need to start a business in Nigeria 
  • NNPC, Akwa Ibom, GACN sign $3.5 billion gas agreement

Follow us on social media:

Recent News

Doctors

South-West doctors threaten strike over unfavorable allowances, issue 21-day ultimatum to FG

July 15, 2025
Small Business

15 things you don’t need to start a business in Nigeria 

July 15, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics