Rating Release

Agusto & Co. hereby upgrades the national scale rating assigned to Shelter Afrique Development Bank’s (“SHAFDB” or “the Issuer”) Tranche A 5-Year ₦27.18 billion 13% and Tranche B 7-Year ₦18.82 billion 13.25% Senior Unsecured Bonds (“the Bonds” or “the Issue) to “Aa+(ngr)” with a stable outlook. 

The rating expires on 20 April 2027. 

Agusto & Co. hereby upgrades the national scale rating assigned to Shelter Afrique Development Bank’s (“SHAFDB” or “the Issuer”) Tranche A 5-Year ₦27.18 billion 13% and Tranche B 7-Year ₦18.82 billion 13.25% Senior Unsecured Bonds (“the Bonds” or “the Issue) to “Aa+(ngr)”. The Bonds form the Series I issuance under SHAFDB’s ₦200 billion Domestic Bond Issuance Programme (“the Programme”). The rating assigned mirrors the Issuer’s Nigerian national scale rating, as the Issue, which is denominated in Nigerian Naira, represents a senior unsecured obligation that ranks pari passu with other senior unsecured debt obligations. Agusto & Co. upgraded SHAFDB’s rating to “Aa+(ngr)” in August 2026, following its successful transition to a treaty-based development bank, which is expected to improve the predictability of member-state capital contributions and strengthen the equity position. The upgrade also reflects improved governance following the adoption of a revised Board Charter and the progress in resolving legacy non-performing loans (NPLs). The Issuer’s multilateral ownership by 44 African governments, strategic affordable-housing mandate, low leverage and adequate capitalisation also support the rating.

However, the rating remains constrained by low profitability and weak asset quality arising from legacy delinquent loans.