Rating Release

Agusto & Co. hereby assigns ‘Bbb-Gha’ long term and ‘A3Gha’ short term ratings to Letshego Ghana Savings and Loans Plc with a stable outlook.

The rating expires on 30 June 2027.

Agusto & Co. hereby assigns ‘Bbb-Gha’ long term and ‘A3Gha’ short term ratings to Letshego Ghana Savings and Loans Plc (“Letshego Ghana” or “the MFI”). The ratings reflect Letshego Ghana’s leading position in Ghana’s microfinance banking industry, good profitability and capitalisation, low leverage and an experienced management team. The ratings are, however, constrained by the MFI’s weak asset quality, concentration in the deposit base, and elevated impairment charges, which pose risks to future profitability. We have also considered the vulnerability of Letshego Ghana’s target market, who face ongoing challenges such as high costs of living, which may hinder their loan repayment capacity despite a fragile but improving macro environment.