Global Credit Rating Company (GCR) has affirmed the unsolicited Namibian long and short-term national scale issuer ratings of First National Bank of Namibia Limited at AA+(NA) and A1+(NA) respectively.
FNB’s unsolicited South African long-term national scale rating has been affirmed at A+(ZA), the outlook stable.
GCR said the group strong stand-alone credit profile is expected to be sustained over the rating horizon.
“We believe most of the asset quality pressures have subsided, and credit losses and NPLs should stabilize at strong levels. This, in conjunction with more normalized operating conditions could underpin a sustained ROA above 2.4%, supportive of capital generative capacity and maintenance of existing loss absorption buffers. We think the funding structure will remain susceptible to bouts of market sensitivity, but good liquidity will continue to offset this deficiency,” the ratings agency said.
