• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Business

APRM Criticises Afreximbank Credit Downgrade by Fitch Ratings, Cites Analytical Flaws 

4 months ago
in Business, Economy, Features, highlights, Home, home-news, latest News
1 min read
0 0
0
70
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

APRM Criticises Afreximbank Credit Downgrade by Fitch Ratings, Cites Analytical Flaws 

The African Peer Review Mechanism (APRM) has strongly criticised Fitch Ratings for its recent downgrade of the African Export-Import Bank (Afreximbank), describing the move as “legally incongruent and analytically flawed.”

In a statement issued on June 6, the APRM took issue with Fitch’s decision to downgrade Afreximbank’s long-term foreign currency issuer rating from ‘BBB’ to ‘BBB-’ with a negative outlook. The ratings agency attributed the downgrade to a rise in the Bank’s estimated non-performing loan (NPL) ratio to 7.1%, citing sovereign exposures to Ghana, South Sudan and Zambia as key contributors.

However, APRM contends that Fitch’s interpretation of Afreximbank’s sovereign lending portfolio disregards the unique legal framework underpinning the Bank’s operations. It argues that loans extended to member states such as Ghana and Zambia are not governed by commercial credit norms but by intergovernmental agreements under the 1993 Treaty establishing Afreximbank.

“The assumption that Ghana, South Sudan and Zambia would default on their loans to Afreximbank is inconsistent with the 1993 Treaty establishing the Bank, to which Ghana and Zambia are both founding members, shareholders and signatories,” the APRM stated.

It further pointed out that no formal default or repudiation of obligations by the said countries had occurred. As such, categorising these loans as non-performing is inaccurate and legally unfounded.

“It is legally incongruent to classify a loan to member countries as non-performing, especially when the borrower states are shareholders in the lender institution, no formal default has occurred, and none of the sovereigns have repudiated the obligation,” the statement read.

RelatedPosts

Communications Minister Warns Against Use of Nigerian DStv Decoders, Moves to Curb Cross-Border Piracy

Nigeria at Risk of an Energy Crisis as Strike Halts Oil Institutions, Dangote Refinery

Ghana Ranks Third in Africa for Adult Bank Account Ownership

APRM warned that Fitch’s approach risks undermining confidence in African-led financial institutions and could distort investor perceptions by mischaracterising intergovernmental loan discussions as indicators of credit distress.

The Mechanism urged Fitch Ratings to revise its assessment methodology and engage more closely with African institutions to ensure that credit evaluations are informed by legal realities and regional contexts.

“Fitch has misinterpreted the invitation extended by Ghana, South Sudan and Zambia to Afreximbank to discuss the loan repayments as signalling an intention to default and/or to lift the Preferred Creditor Status,” APRM noted.

It concluded by emphasising the importance of fair and context-sensitive credit assessments in ensuring Africa’s equitable treatment in global financial markets.

 

Tags: AfreximbankAfrican Peer Review Mechanism (APRM)APRM Criticises Afreximbank Credit Downgrade by Fitch RatingsCites Analytical Flawscredit downgradeFitch Ratings

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms & Conditions and Privacy Policy.

No Result
View All Result

Highlights

The African Development Bank Approves €100 Million Loan to Strengthen Côte d’Ivoire’s Cocoa Value Chain

2026 Budget Hearings Conclude with Focus on Accountability and Resource Allocation

Tullow Oil Reports 11.4% Decline in Reserves

RTI Commission Slaps State and Private Institutions With GHS 5.6m in Fines Over Information Breaches

Communications Minister to Address Standoff with MultiChoice Ghana Over DStv Pricing

Bilateral Trade Between Ghana and China Hits Historic $11.8bn Mark

Trending

Features

Communications Minister Warns Against Use of Nigerian DStv Decoders, Moves to Curb Cross-Border Piracy

September 29, 2025

Communications Minister Warns Against Use of Nigerian DStv Decoders, Moves to Curb Cross-Border Piracy Minister for Communications,...

Nigeria at Risk of an Energy Crisis as Strike Halts Oil Institutions, Dangote Refinery

September 29, 2025

Ghana Ranks Third in Africa for Adult Bank Account Ownership

September 29, 2025

The African Development Bank Approves €100 Million Loan to Strengthen Côte d’Ivoire’s Cocoa Value Chain

September 29, 2025

2026 Budget Hearings Conclude with Focus on Accountability and Resource Allocation

September 29, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.