Mainstreet MFB gets BBB+ rating

Mainstreet MFB Limited has been assigned a long-term rating of “BBB+” with a stable outlook for the year 2021/2022.

A statement by DataPro, the technology-driven credit rating agency, yesterday explained that the “BBB+” indicates slight risk. “It shows fair financial strength, operating performance, and business profile when compared to the standard established by DataPro.

“The company, in our opinion, can meet its ongoing obligations, but its financial strength is vulnerable to adverse changes in economic conditions,” the statement said.

The statement signed by DataPro’s Client Services Manager, Mr. Kehinde Rasheed, said: “The DataPro Committee approved the rating after assessment of the company’s financial performance, capital adequacy, asset quality, liquidity, profitability, risk factors and future outlook of its current healthy profile in the medium to long term period.

“The rating of Mainstreet MFB Limited is supported by the bank’s very good liquidity position, good profitability, and asset quality.”

It added that Mainstreet MFB Limited has a short-term rating of “AZ”, which indicates fair credit quality and adequate capacity for timely payment of financial commitments.

“DataPro notes that the rating carries a maximum shelf life of 12 months in line with international best practice,” the statement said, explaining however that the rating is not an offer to trade in securities nor a substitute for the user’s judgment.