Moody’s Investor Service has affirmed the African Development Bank’s AAA credit rating, with a stable outlook.
Moody’s Investor Service said in an annual credit analysis the credit profile of the AfDB is supported by the bank’s robust capital buffers and superior risk management, which mitigates risk.
Moody’s added: “An ample liquidity buffer and unfettered access to international capital markets also supports its ability to meet its debt-service obligations. Moreover, the Bank has a long track record of being the premier development institution in Africa and benefits from shareholders’ ability and willingness to support its development objectives, exemplified by the significant contributions of highly rated non-regional member countries.”
AfDB President, Dr Akinwumi Adesina, said: “The AAA rating by Moody’s validates the strength of the Bank’s prudent financial and risk management and strong governance systems even in the face of tough challenges imposed by the COVID-19 pandemic. The extraordinary support of the Bank’s shareholders boosts our capacity to finance African countries. We will continue to manage risks and capital requirements adequately to help African countries to build their economies back better and faster, while assuring economic, health and climate resilience.”
This latest rating advice means the AfDB is rated triple-A with a stable outlook by all the major international rating agencies. It follows earlier affirmations of the Bank’s rating with a stable outlook by Fitch Ratings, Standards and Poor’s Global Ratings and Japan Credit Rating Agency.