Fitch upgrades fbn holdings first bank of nigeria to b outlook stable

Fitch Ratings, a leading global credit rating agency, has upgraded the Long-Term Issuer Default Rating (IDR) of FBN Holdings Plc, the parent company of First Bank of Nigeria Limited, to 'B' from 'B-' with a Stable Outlook.

Here are the key details of the upgrade:

• Long-Term IDR upgraded to 'B' from 'B-'
• Outlook remains Stable
• Fitch Ratings has also upgraded the Viability Rating (VR) of FBN Holdings to 'b' from 'b-' and the Support Rating (SR) to '5' from '5'

The upgrade reflects FBN Holdings' improved financial performance, driven by its strong franchise, diversified revenue streams, and robust risk management practices. Fitch Ratings noted that the bank's profitability has improved significantly, driven by a decline in non-performing loans (NPLs) and a reduction in operating expenses.

Fitch Ratings also highlighted the bank's strong capital adequacy ratio, which has remained above the regulatory minimum requirement of 10%. The agency noted that the bank's liquidity position is also strong, with a liquid asset ratio of over 30%.

The Stable Outlook reflects Fitch Ratings' expectation that FBN Holdings will continue to maintain its strong financial performance, driven by its solid franchise, diversified revenue streams, and robust risk management practices.

Overall, the upgrade is a positive development for FBN Holdings and First Bank of Nigeria Limited, as it reflects the bank's improved financial performance and strong fundamentals.