Fitch Assigns Jaiz Bank’s Long-Term IDR at ‘B-’ with a Stable Outlook; Reflects Healthy Profitability

Fitch Ratings (Fitch) has assigned Jaiz Bank, a Nigeria-based non-interest banking (NIB; Islamic banking) institution, a Long-Term Issuer Default Rating (IDR) of ‘B-’ with a Stable Outlook, as well as a Viability Rating (VR) of ‘b-’.

Ratings Rationale

Jaiz Bank’s IDRs are driven by its standalone creditworthiness, as indicated by its ‘b-’ VR. The ratings reflect the concentration of the bank’s operations within Nigeria’s challenging operating environment, high credit concentrations, financing-quality weaknesses, high financing and balance-sheet growth which is anticipated to continue over the medium term, and a franchise which is small but evolving. In addition, the ratings reflect healthy profitab...