Access Bank Plc has been upgraded from “A” to “A+” with a stable
outlook by Agusto & Co. The rating cements Access Bank’s position as
a systemically important banking institution in Nigeria and reflects
the full synergy of the merger with Intercontinental Bank Plc.
According to the report issued by Agusto & Co, Access Bank
achieved this by actualising a good liquidity position, satisfactory
capitalisation as well as improved risk management framework, which had a
positive impact on asset quality.
The rating agency stated in its report that the bank’s extensive
network of 310 branches and cash centres has created improved visibility
among the banking population and has translated to a significant market
share across the key market indicators. Non Performing Loans to gross
loans ratio stood at 2.4 per cent – the lowest recorded in the last five
years and compares favourably with the industry average of 3.6 per
cent.
The report further states that, “Access Bank’s improved rating
further corroborates the bank’s enhanced capacity to execute larger
transactions as well as access long-term funding from local and foreign
multilateral agencies and institutions.”
This was further confirmed in the successful Tier II capital of $400
million Eurobond recently raised by the bank. According to the
statement, this will provide sufficient headroom for the bank to achieve
its targeted 20 per cent asset growth in 2014.
The Group Managing Director of Access Bank Plc, Herbert Wigwe,
reacting to the rating, said the feat was an affirmation of the bank’s
strong liquidity and funding position, which is also a confirmation of
its position as one of Nigeria’s foremost Tier I banks.
He further stated that the upgrade was yet another testament to the
bank’s continued focus on sustainable banking and a reminder of its
commitment to becoming the world’s most respected African bank.
Wigwe expressed his gratitude to members of staff for their steadfast contribution to the growth of the bank.
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