Global credit rating agency, Fitch Ratings, has affirmed the African Development Bank’s (AfDB) credit rating at triple As (AAA), with a stable outlook. Fitch attributed the triple A rating to the support of the Bank’s shareholders.

Fitch views the AfDB’s risk-management policies as conservative and assesses them as excellent, in line with AAA-rated peers. “Concentration risk is low, with the bank’s five largest exposures accounting for 32% of total banking portfolio at end-2020.”

Bajabulile Swazi Tshabalala, Vice President for Finance and CFO of the AfDB said, “The affirmation of the Bank’s triple-A ratings by Fitch, recognizes the very strong shareholder support our institution benefits from, as well as its strong capitalization and risk management capabilities. The affirmation also speaks to the importance of the Bank’s public policy mandate, particularly during these very challenging times. The global ratings agency assesses the Bank’s overall exposure to risks as Low, balancing Moderate credit risk with Excellent risk management policies, Low concentration, and Very Low equity and market risks.”

Responding to the Fitch Ratings report, AfDB Group President Dr. Akinwumi A. Adesina said, “The African Development Bank welcomes the affirmation of the Bank’s AAA rating, with a stable outlook, despite enormous challenges posed by Covid-19. The Bank will continue to enhance its policy and fiscal relevance in support of regional member countries, as they contend with the global and regional repercussions of the pandemic. While helping African economies reposition their economies in a Covid-19 environment, we will also maintain our prudential ratios and adequate buffers.”

In 2020, the AfDB was recognized by Global Capital for its highly successful Ksh. 325.5 billion ($3 billion) Fight COVID-19 social bond. The bond was aimed at alleviating the impact of the pandemic on African lives and economies