Fitch Ratings has said the Central Bank of Nigeria may be issuing regulations that would hinder the banking sector support to revised the Nigerian economy as it revised the Outlook on the Long-Term Issuer Default Ratings (IDRs) of five Nigerian banks and one bank holding company to Positive from Stable, as it affirmed the Long-term IDRs at ‘B-’.
The international rating agency its latest ratings issued yesterday pointed out the $2,2 billion foreign exchange backlog which the CBN governor, Dr Olayemi Cardoso had said could not be verified and thus would not be paid.
Noting that the apex bank had stepped up efforts to reform the monetary and exchange rate framework, it said “$2.2 billion of “unverified” FX forwards have yet to be cleared and there are risks of the CBN introducing more regulations that are detrimental to the banking sector to support macroeconomic stability.” This is as it noted the renewed volatility in the forex market.
Meanwhile, the international rating agency had revised the outlook of Access Bank Plc, Zenith Bank Plc, United Bank for Africa Plc (UBA), Guaranty Trust Bank Limited (GTB), Guaranty Trust Holding Company Plc (GTCO) and Bank of Industry Limited (BOI) in its latest report released yesterday.
