The foremost credit rating agency, Global Credit Ratings (GCR) upgraded the national scale long-term issuer rating assigned to Stanbic IBTC Bank PLC to AAA(NG) from AA+(NG) and affirmed the national scale short-term issuer rating at A1+(NG), with a Stable Outlook.
The upgrade made Stanbic IBTC Bank the only financial institution in Nigeria with the rating.
The rating upgrade was underpinned by Stanbic IBTC’s sound competitive position, good risk profile, and healthy funding and liquidity position.
Further supporting the rating was the robust financial and technical support from its parent, Standard Bank Group (“SBG”), the largest banking group in Africa in terms of balance sheet size and earnings.
Leveraging on its membership in the Group, the Bank continued to harness inherent cross-selling opportunities to serve a wide range of customers and ultimately enhanced its financial performance and market position.
In further reiterating the impeccable fundamentals of Stanbic IBTC Bank, the report recognised the Bank’s good asset quality, good capitalization, liquidity, and experienced management team, which had contributed positively to the Bank’s rating.
Dr. Demola Sogunle, Chief Executive, Stanbic IBTC Holdings PLC, commented: “We are excited by this independent assessment of our operations, as it provides an objective opinion on the organisation’s credibility and capacity in meeting short and long-term obligations. It shows the rigorous commitment and detailed process we have continued to demonstrate over the years. It also shows the efficacy of our credit creation model and overall risk management culture including governance as the number one financial solution holding company in Nigeria and our AAA rating further validates our ability to meet all your financial needs”.
Demola noted that besides the new recognition, Stanbic IBTC’s various subsidiaries have continued to provide financial solutions to meet the need of our esteemed customers.
“At Stanbic IBTC, we play vital roles in Nigeria’s economic and infrastructure development. Our solutions have continued to meet the needs of individuals, small and medium scale enterprises, big corporates and governmental institutions across the country while our pension subsidiary has remained the delight for pension fund owners,” he said.
“Also, as an organisation committed to provide the needed financial solutions for infrastructural development in the country, Stanbic IBTC Asset Management championed Nigeria’s infrastructure drive, through the Stanbic IBTC N100 billion Infrastructure Fund. The Fund, which was designed for institutional investors such as pension fund administrators, insurance companies, asset managers, and high networth individuals was geared at mobilising long-term capital to support private and public infrastructure projects,” the Chief Executive said.
In his remarks, Wole Adeniyi, Chief Executive, Stanbic IBTC Bank PLC, said the new rating was a testament to the bank’s mandate of enhancing access to credit for all classes of its customers.
“At Stanbic IBTC Bank, we have provided support for small and medium scale enterprises, thereby deepening credit penetration to the low end of the market while various corporate organisations have continued to enjoy our unwavering support. We will continue to leverage our unique capabilities and innovative approach in meeting our short and long-term obligations,” Wole said.