By 
Global Credit Ratings (GCR) has upgraded the national scale issuer ratings of FairMoney Microfinance Bank, raising its long-term rating from BBB(NG) to BBB+(NG) and its short-term rating from A3(NG) to A2(NG). The outlook on the institution remains stable.
According to FairMoney, the upgraded ratings underscore both the improving conditions within Nigeria’s microfinance sector and the bank’s strengthening position, supported by its scale, technology-driven operations, and sustained efficiency.
GCR cited FairMoney’s consistent earnings, strong cash flow generation, and flexible funding structure—bolstered by backing from parent company Predictus SAS—as key drivers of the ratings uplift.
Henry Obiekea, Director of FairMoney Nigeria, said the rating upgrade validates the bank’s disciplined risk management.
“Over the last three years, we have consistently managed portfolio credit risk downward without impacting margins,” he noted.
FairMoney continues to rank among the top earners in Nigeria’s microlending space, driven by strong customer demand and high-volume loan disbursement. The institution has also broadened its product suite, extending credit services to small- and medium-sized businesses.
Despite competitive pressures and the inherent challenges of maintaining portfolio quality, GCR affirmed FairMoney’s position as one of the leading players in the Nigerian microlending market. The agency highlighted the bank’s proprietary technology, high transaction throughput—over 10,000 loan requests and disbursements daily—and strong brand presence as factors supporting its expanding financial inclusion efforts.
The stable outlook reflects GCR’s expectation that FairMoney will further enhance portfolio quality over the next 12–18 months. This projection is supported by the institution’s growing use of internal and external data for improved risk assessment, gradual entry into secured lending, and an increasingly stable macroeconomic environment.
GCR anticipates continued improvement in FairMoney’s market share, earnings diversification, maintenance of its net interest margin below 80%, and sustained operational cash flow and leverage levels.
“GCR’s decision to upgrade our ratings is a strong endorsement of the FairMoney platform,” Obiekea added. “It affirms the strength of our business model, solid financial performance, and ongoing commitment to effective credit risk management.”
FairMoney Microfinance Bank, licensed by the Central Bank of Nigeria, provides instant loans, savings, credit lines, and payment services through its mobile app.
Comments