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It’s An AAA Fitch Rating For Stanbic Bank Uganda
Fitch, the international credit rating agency has affirmed Stanbic Bank Uganda Limited’s (SBU) Long-Term Issuer Default Rating (IDR) at ‘B+’ while it also maintains its ‘AAA’ rating in Uganda.
Fitch says Stanbic Bank’s National Ratings reflect its creditworthiness relative to other issuers in Uganda. Stanbic Bank’s ‘AAA’ National Long-Term Rating is the highest possible on Uganda’s national scale and considers potential support available from Standard Bank Group. SBU’s Long-Term IDR is one notch below that of SBG, reflecting SBU’s strategically important role in the group’s regional operations.
Stanbic Bank Uganda is the largest bank accounting for 22 per cent of banking sector assets as of the end of December 2021. Its leading domestic franchise is underpinned by a strong corporate and investment banking (CIB) business, relationships with the leading corporate companies operating in Uganda, and other benefits derived from being part of the Standard Bank Group (SBG), which is Africa’s biggest lender by assets.
Fitch regularly generates IDRs for a range of business sectors. An ‘issuer’ may be a financial or nonfinancial corporation, a sovereign company, or an insurance company. A ‘Default Rating’ is the measure of an institution’s credit risk. Risk is defined by a company’s threat of becoming defunct or entering bankruptcy, administration, receivership, liquidation, or other formal winding-up procedures. Fitch relies on independent auditors and other experts to produce IDRs.
Its leading domestic franchise is underpinned by a strong corporate and investment banking (CIB) business, relationships with the leading corporate companies operating in Uganda, and other benefits derived from being part of the Standard Bank Group (SBG), which is Africa’s biggest lender by assets.
Fitch regularly generates IDRs for a range of business sectors. An ‘issuer’ may be a financial or nonfinancial corporation, a sovereign company, or an insurance company. A ‘Default Rating’ is the measure of an institution’s credit risk. Risk is defined by a company’s threat of becoming defunct or entering bankruptcy, administration, receivership, liquidation, or other formal winding-up procedures. Fitch relies on independent auditors and other experts to produce IDRs.