Globally renowned credit ratings agency, Moody’s, has affirmed the Baa3/Stable rating of the East African Development Bank (EADB).

The agency highlighted the Bank’s strong capital position together with low non-performing assets (NPAs) ratio and robust liquidity levels were key strengths of its overall credit profile.

EADB is one of only eight institutions and countries to attain the highly coveted "investment grade” in Africa. EADB has maintained its’ investment grade rating since 2015.

The stable outlook reflects a balance of upside and downside risks and notes that loan growth and concentration risk reductions would support a future upgrade.

As such, Moody’s expects EADB to adopt a prudent approach to new lending in the implementation of the new strategy for 2024-2028 and will continue to develop its risk management framework, while maintaining robust capital adequacy and strong liquidity levels.

The Bank's leverage was noted to be amongst the lowest amongst its peers.

Reacting to the rating, the Bank’s Director General, Vivienne Yeda said, "for nearly 60 years, the EADB has supported robust growth and transformation. We are pleased that Moody’s has affirmed our investment grade rating which is critical to our resource mobilization efforts, and access to international capital markets.”

She added that this investment grade rating is beneficial in mobilizing cost-effective financing to support both public and private sector enterprises to create sustainable and inclusive social economic development in East Africa.