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DataPro reaffirms Zenith Bank’s AA- rating

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DataPro, a Credit Rating Agency (CRA) recognised and approved by the Securities & Exchange Commission (SEC), has in its latest report re-affirmed Zenith Bank Plc Long-Term Rating of AA- with a stable outlook for the year 2020/2021.

The AA- Rating indicates Lower Risk. It shows excellent Financial Strength, Operating Performance and Profile when compared to the standards established by DataPro. This Bank, in our opinion, has a very strong ability to meet its ongoing obligation.

The DataPro Rating Committee approved the Rating after assessment of the Company’s Financial Performance, Earnings Profile, Liquidity, Corporate Governance, Regulatory Compliance and Sustainability of its current healthy profile in the medium to long-term period.

Read Also: Zenith Bank earns N696.5bn in 2020

The Rating of Zenith Bank Plc is supported by its diversified Revenue Base, Experienced Management Team, Strong Liquidity and Good Capitalization.

However, the Rating is constrained by Concentration Risk and Huge Portfolio of Unsecured Credit.

Zenith Bank Plc subsequently got a Short-Term Rating of A1. This indicates Good Credit Quality and Satisfactory Capacity for timely payment of financial commitments.

DataPro notes that the Rating carries a maximum shelf life of 12 calendar months, in line with international best practice. The Rating is therefore not an offer to trade in Securities nor a substitute for the user’s judgement. It is meant for reference purposes.