This site uses cookies to provide you with a great user experience. By using BondbloX, you accept our use of cookies.
Bond Market News
Afreximbank Downgraded to Baa2
July 2, 2025
Moody’s has downgraded Afreximbank from Baa1 to Baa2, citing deteriorating asset performance and increased exposure to high-risk sovereign borrowers. The bank’s shift to unsecured sovereign lending in recent years has made its operations increasingly sensitive. Countries like Ghana and Zambia, which are restructuring their debt, represent 3% and 0.2% of sovereign loan exposure. Moreover, 41% of sovereign exposure to these nations was already provisioned by the end of 2024.
The bank boosted its liquidity from $4.5bn at the end of 2024 to $9.5bn recently. Moody’s expects the bank to maintain high cash levels until the recent deterioration in the cost of its debt begins to normalize. Moody’s stable outlook for Afreximbank is backed by strong profitability, shareholder capital injections and existing provisions that collectively enable the bank to manage and absorb potential losses.
Afreximbank’s 3.798% 2031s are trading at 86.99, yielding 6.5%.
For more details, click here.
Go back to Latest bond Market News
Related Posts:
S&P Upgrades Yanlord by One Notch to ‘BB’
March 16, 2018
BondbloX Pte. Ltd. is regulated by the Monetary Authority of Singapore as a Recognised Market Operator ("RMO") and exempted from Section 49(1) of the Securities and Futures Act (Cap. 289) ("SFA") under Section 49(7) of the SFA.