• 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 Banking & Finance

African Banks Face Indirect Risks as China Slows Amid U.S. Tariffs, Says Moody’s

3 months ago
in Banking & Finance, Business, Features, highlights, Home, home-news, latest News
1 min read
0 0
0
71
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

RelatedPosts

Top 10 African Countries With the Weakest Currencies in July 2025

U.S. Demands $15,000 Deposit for Visa Applicants From Zambia and Malawi

BoG Governor Urges Banks to Rethink Business Models as Interest Rates Decline

African Banks Face Indirect Risks as China Slows Amid U.S. Tariffs, Says Moody’s

Moody’s warns that broader macroeconomic consequences, particularly slower growth in China, a key trading partner for African commodity exporters, could indirectly impact the region’s banks

A recent report by credit rating agency Moody’s reveals that while banks in Sub-Saharan Africa are unlikely to face direct impacts from U.S. import tariffs, they may still feel the strain through “second-round effects.”

Moody’s warns that broader macroeconomic consequences, particularly slower growth in China, a key trading partner for African commodity exporters, could indirectly impact the region’s banks, Reuters reported.

Moody also cited potential increases in funding costs as another risk stemming from the global ripple effects of the tariffs.

“China’s potential economic slowdown is an important second round risk: weaker demand could cut export volumes and prices, especially for commodities,” Mik Kabeya, VP-Senior Analyst at Moody’s Ratings told Reuters.

When miners and oil companies export less or earn lower revenues per tonne, banks collect fewer trade-finance fees, potentially tightening their capacity to issue new loans.

Sluggish economic growth

China’s economy is still stuck in low gear as it recorded one of its slowest economic growth rates in decades last year. The country’s official factory activity index dropped to 49.0 in April, its lowest level in 16 months, showing the impact of U.S. tariffs.

In response, the International Monetary Fund revised its growth forecast for China downward to 4% for 2025 and 2026, warning that reduced Chinese demand could reverberate across commodity-exporting nations.

Investor caution driven by trade tensions may also lead to wider dollar-bond spreads, increasing refinancing costs for African banks that rely on wholesale hard currency funding for more than 20% of their assets, according to analyst Aurelien Gabeya.

Meanwhile, growing financial distress across several African countries, combined with China’s economic headwinds, has led Beijing to scale back support for energy projects on the continent.

As a result, Chinese lending to Africa dropped to under $1 billion last year, the lowest level in more than two decades.

Source: businessinsiderafrica
Via: norvanreports
Tags: African banksAfrican Banks Face Indirect Risks as China Slows Amid U.S. Tariffssays Moody’s

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

GSE-CI Climbs to 7,040.46 Points as Market Cap Rises by GHS294.3m Despite Trade Slowdown

EOCO Seizes Shatta Wale’s Lamborghini Linked to US Convicted Fraudster Nana Amuah

Former Black Stars Midfielder Agyemang Badu Calls for Increased Support for Women’s Football in Ghana

Black Stars Gear Up for Crucial World Cup Qualifiers Against Chad and Mali In September

CHAN 2024: Senegal Secure Narrow Win Over Nigeria, Congo Snatches Late Equalizer Against Sudan

Bright Simons Questions Policy Rationale Behind Communications Minister’s Demand for 30% DSTV Price Cut

Trending

Business

Top 10 African Countries With the Weakest Currencies in July 2025

August 6, 2025

Top 10 African Countries With the Weakest Currencies in July 2025 A weak currency can significantly deter...

U.S. Demands $15,000 Deposit for Visa Applicants From Zambia and Malawi

August 6, 2025
Governor of the Bank of Ghana (BoG), Dr Johnson Asiama,

BoG Governor Urges Banks to Rethink Business Models as Interest Rates Decline

August 6, 2025

GSE-CI Climbs to 7,040.46 Points as Market Cap Rises by GHS294.3m Despite Trade Slowdown

August 6, 2025

EOCO Seizes Shatta Wale’s Lamborghini Linked to US Convicted Fraudster Nana Amuah

August 6, 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.