By Raheem Akingbolu
DataPro, a leading Credit Rating Agency (CRA) recognised and approved by the Securities & Exchange Commission (SEC), has re-affirmed Sterling Bank long-term rating of BBB+ with a stable outlook for the year 2017/2018.
The BBB+rating indicates that the bank has a fair financial strength, operating performance and business profile when compared to the established standards. It further indicates that the bank has the ability to meet its on-going obligations, subject to adverse changes in economic conditions.
The DataPro Rating Committee approved the rating after a review of the bank’s Capitalisation, Earnings Profile, Liquidity, Quality of Assets and Sustainability of its current healthy profile in the medium to long-term period.
The rating is supported by the bank’s stable management and strong brand presence. The rating took note of the fact that the bank’s capital adequacy for the reviewed period was 11per cent against the regulatory requirement of 10per cent.
Sterling Bank subsequently got a short term rating of A2. This reflects the bank’s capacity for timely payment of financial commitments.
