Online Reporter
Sikhulekelani Moyo
Zimpapers Business Hub
THE African Export-Import Bank (Afreximbank) has officially terminated its credit rating relationship with Fitch Ratings.
Fitch Ratings is an American credit rating agency that assesses the creditworthiness of issuers, including governments and corporations.
It provides credit ratings, commentary and research to help investors make informed decisions.
In a communique, Afreximbank said this decision followed a review of the relationship, which showed that the credit rating exercise no longer reflected a good understanding of the Bank’s Establishment Agreement, its mission and its mandate.
“Afreximbank’s business profile remains robust, underpinned by strong shareholder relationships and the legal protections embedded in its Establishment Agreement, signed and ratified by its member states,” reads the statement.
Afreximbank is a Pan-African multilateral financial institution mandated to finance and promote intra- and extra-African trade.
For over 30 years, the bank has been deploying innovative arrangements to deliver financing solutions that support the transformation of Africa’s trade, accelerating industrialisation and intra-regional trade, thereby boosting economic expansion in Africa.
Meanwhile, as a stalwart supporter of the African Continental Free Trade Agreement (AfCFTA), Afreximbank has launched a Pan-African Payment and Settlement System (PAPSS) that was adopted by the African union (AU) as the payment and settlement platform to underpin the implementation of the AfCFTA.
Working with the AfCFTA Secretariat and the AU, the Bank has set up a US$10 billion Adjustment Fund to support countries effectively participating in the AfCFTA.
At the end of December 2024, Afreximbank’s total assets and contingencies stood at over US$40,1 billion, and its shareholder funds amounted to US$7,2 billion.
Afreximbank has investment-grade ratings assigned by GCR (international scale) (A), Moody’s (Baa2), China Chengxin International Credit Rating Co., Ltd (CCXI) (AAA) and Japan Credit Rating Agency (JCR) (A-).
It has evolved into a group entity comprising the bank, its equity impact fund subsidiary called the Fund for Export Development Africa (FEDA), and its insurance management subsidiary, AfrexInsure.
