Fitch Ratings has assigned I&M Group Plc and its core banking subsidiary I&M Bank in Kenya National Long-Term Ratings of ‘A+(ken)’ with stable outlooks relative to that of other Kenyan issuers.
Both entities have also been assigned Long-Term Issuer Default Ratings (IDRs) of ‘B’ with a negative outlook. The respective negative outlooks mirror the outlook on the sovereign rating.
These ratings issued by Fitch, the global credit rating agency, are driven by their standalone creditworthiness and are also reflective of the business resilience and a solid strategic focus by all the business units across the East African region and beyond.
“I&M Group’s business profile is underpinned by its established banking franchise in Kenya and growing regional businesses, which provide some competitive advantages and revenue diversification,” Fitch Ratings said in a statement
Fitch noted that I&M Bank is a Tier 1 bank in Kenya with a moderate domestic market franchise of around 6% of sector loans and 5% of sector deposits at end the first half of 2023.
I&M Group CEO Kihara Maina noted that the Group is embarking on its third iteration of their iMara Strategy (2024–2026), which is focused on impacting lives through expansion into new horizons in terms of regional operations, segments served, and products offered.
“As a group we are pleased with this rating by Fitch which indicates strong profitability and reasonable capital buffers amidst challenging operating conditions,” Mr Maina says. “We remain focused on implementation of the refreshed strategy to deliver on our short- and medium-term objectives.”
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