Rating Release
Agusto & Co. hereby affirms the “Bbb+” rating assigned to Credit Direct Finance Company Limited with a stable outlook.
The rating expires on 30 June 2026
Agusto & Co. hereby affirms a “Bbb+” rating to Credit Direct Finance Company Limited (“Credit Direct”, “CDFCL”, or “the Company”). The rating reflects Credit Direct’s dominant position in salary-backed public sector lending, good loan collections record upheld by a deduction at source model, a competent management team, good profitability indicators and the strategic support and oversight from the FCMB Group Plc. However, the rating is constrained by CDFCL’s high vulnerability to volatile public sector finances, aggressive loan book growth, which threatens asset quality and capital ratios, and reliance on expensive wholesale funding. We have also considered the impact of the elevated level of inflation in the macro environment and yields in the financial markets on the Company’s business.
Credit Direct is licensed by the Central Bank of Nigeria (CBN) to operate as a finance company. The Company provides salary-backed credit facilities to employees of federal and state ministries, departments and agencies (MDAs).
