The African Export-Import Bank, Afreximbank, has received a major vote of confidence as the Japan Credit Rating Agency, JCR, affirmed its A-issuer credit rating with a stable outlook. The affirmation comes as the Bank strengthens its footprint in global capital markets, particularly in the build-up of its funding diversification.
An A- rating means Afreximbank is considered a strong and reliable institution with low risk of defaulting on its financial obligations. In simple terms, it shows the Bank has the capacity to repay its debts, which boosts investor confidence and allows it to borrow at lower interest rates. The stable outlook further signals that the Bank’s financial position is not expected to weaken in the near future.
According to JCR, the rating reflects Afreximbank’s strong strategic positioning, sound risk management, consistent profitability, prudent liquidity, and resilient capital base. The agency also highlighted the Bank’s important role in driving trade finance and economic development across Africa and the Caribbean.
The outlook is expected to remain stable over the next 12 to 18 months despite external macroeconomic headwinds.
Reacting, Afreximbank’s Senior Executive Vice President, Denys Denya, said the affirmation reinforces the Bank’s credibility in international markets and highlights its systemic importance to Africa.
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He noted that it strengthens Afreximbank’s ability to diversify funding sources, including tapping into Japan’s capital markets.
The Bank has already made inroads in Japan with its successful inaugural Samurai bond issuance in 2024, raising over 530 million dollars. The transaction, which drew strong interest from Japanese institutional investors, underscored Afreximbank’s growing global appeal.
With JCR’s affirmation, Afreximbank is expected to further consolidate investor confidence as it mobilises resources to support intra- and extra-African trade, as well as deepen its development role across Africa and the Caribbean.
(Editor: Ena Agbanoma)
