This archive report was first published on 5 September 2019.
On September 5, 2019, Moody's credit rating agency affirmed the Baa3 long-term issuer rating of East African Development Bank, citing the institution's robust capital buffers and prudent liquidity levels.
However, the agency also highlighted the bank's weak asset quality, high non-performing loans, and developing risk management framework as factors that could pressure down the credit rating.
Kenya, Uganda, Tanzania, and Rwanda, the main shareholders of the bank, also face creditworthiness concerns that may impact the regional institution.
Moody's decision to maintain the credit rating reflects its expectation that EADB will continue to maintain its capital and liquidity levels, but the agency warned that the bank's credit profile remains under pressure.
