Rating Release

Agusto & Co. affirms the “Aaa” (long term) and “A1+” (short term) ratings assigned to Development Bank Plc (“DBN” or “the Bank”), with a stable outlook 

The ratings expire on 30 June 2027. 

Agusto & Co. affirms the “Aaa” (long term) and “A1+” (short term) ratings assigned to Development Bank of Nigeria Plc (“DBN” or “the Bank”). The ratings reflect the strong support and profile of the shareholders: Ministry of Finance Incorporated (MOFI), Nigeria Sovereign Investment Authority (NSIA) rated “Aaa” by Agusto & Co., African Development Bank (AfDB) rated “Aaa” by Fitch, and the European Investment Bank (EIB) rated “Aaa” by Fitch. In addition to the injected capital, the shareholders contribute to the governance framework and provide capacity development for the target market (micro, small, and medium-sized enterprises (MSMEs)) and the participating financial institutions (PFIs). The ratings also reflect DBN’s good asset quality, developmental impact, good liquidity profile and experienced management team. However, the ratings are constrained by Nigeria’s fragile macroeconomic environment, given that MSMEs are highly vulnerable to macroeconomic downturns. A “2” ESG Score has also been attached to the ratings, indicating that environmental, social and governance factors have minimal impact on the Bank’s credit risk profile.