Ebene/Bujumbura, May 13 2022 – Reflecting continued improvement in TDB’s risk profile, GCR and Fitch revised the Eastern and Southern African Trade and Development Bank (TDB)’s outlooks from stable to positive in 2021, while Moody’s raised theirs to stable from negative during the first quarter of 2022.
Thanks to TDB’s consistent track record in terms of performance, impact, risk management, and continued diversification and growth in terms of portfolio, shareholding and funding sources, investment grade ratings were affirmed by both Moody’s (Baa3) and GCR (BBB and A3).
Despite the more challenging operating environment since the onset of COVID-19, TDB has kept solid capital adequacy, solvency and liquidity positions, supported by cash buffers, new benchmark bond issuances and record facilities from commercial and policy banks. Furthermore, asset quality has remained robust with non-performing loans remaining around 3% mark, supported by a prudent lending strategy and a sound risk management framework comprising various risk mitigation measures including the insurance of the Bank’s callable capital, the collateralization of loans, and the insurance of its portfolio by A and AA-rated insurers.
Established in 1985, the Eastern and Southern African Trade and Development Bank (TDB) is a multilateral, treaty-based, investment-grade development finance institution, with 41 sovereign and institutional shareholders and assets of USD 8 bn. TDB serves 22 economies in its region, with the mandate to finance and foster trade, regional economic integration, and sustainable development.
TDB is part of the TDB Group, which also comprises TDF (the Trade and Development Fund), ESATF (the Eastern and Southern African Trade Fund), TCI (TDB Captive Insurance), and the TDB Academy.
Anne-Marie Iskandar, Senior Communications Officer
Corporate Affairs and Investor Relations
Trade and Development Bank