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Agusto & Co. affirms the “Aa-” rating assigned to United Bank for Africa Plc

Rating Release

Agusto & Co. affirms the “Aa-” rating assigned to United Bank for Africa Plc

The rating expires on 30 June 2021.

The rating assigned to United Bank for Africa Plc. (“UBA” or “the Bank”) reflects its market position as the fourth largest bank in Nigeria by asset size, upheld by a strong domestic and Pan-African franchise. The rating recognises the Bank’s low impaired loan ratio, acceptable capitalisation ratios and good liquidity profile in the year under review. However, the assigned rating is constrained by some degree of obligor concentration in the loan portfolio, low earnings vis-a-vis operating costs and weaknesses in the global macroeconomic environment caused by the novel COVID-19 pandemic.

This Rating Release is transmitted to you for the sole purpose of dissemination through your newspaper / magazine / agency. The rating release may be used by you in full or in part without changing the meaning or context thereof but with due credit to Agusto & Co.