Global Credit Ratings (GCR) has upgraded the national scale issuer ratings of FairMoney Microfinance Bank. The institution’s long-term rating has been raised from BBB(NG) to BBB+(NG), while its short-term rating improved from A3(NG) to A2(NG). The outlook remains stable.

FairMoney MFB stated that the upgraded ratings reflect improvements in the Nigerian microfinance sector and underscore its strong industry position, backed by its scale, advanced technology, and operational efficiency.

GCR highlighted FairMoney’s consistent earnings, robust cash flow, and flexible funding structure, which is further reinforced by support from its parent company, Predictus SAS.

Commenting on the upgrade, FairMoney Nigeria Director Henry Obiekea said, “Over the last three years, we have consistently managed portfolio credit risk downwards without affecting margins.” He emphasized FairMoney’s status as a leading earner in the microlending market, driven by strong customer demand and high-volume loan disbursements. The company has also expanded its services to include loans for small- and medium-sized businesses.

GCR noted that despite competitive pressures impacting portfolio quality, FairMoney remains a top player in Nigeria’s microlending sector. The bank leverages proprietary technology, high transaction volumes—with over 10,000 daily loan requests and disbursements—and strong brand recognition to broaden financial access nationwide. FairMoney’s solid cash generation, modest debt, and stable, low-cost customer deposit base continue to support its credit profile.

The stable outlook reflects GCR’s expectation that FairMoney will continue to enhance its portfolio quality over the next 12 to 18 months. This is supported by the company’s increasing use of internal and external data for stronger customer risk assessment, gradual expansion into secured lending, and a more stable macroeconomic environment.

GCR anticipates that FairMoney will strengthen its market share, diversify its earnings, maintain its NIM below 80 per cent, and sustain current operational cash flow and leverage levels.

“GCR’s decision to upgrade our ratings is a strong endorsement of the FairMoney platform. It highlights the strength of our business model, our solid financial performance, and our commitment to effective credit risk management,” Obiekea concluded.

Licensed by the Central Bank of Nigeria, FairMoney provides instant loans, savings accounts, credit lines, and payment services through its mobile app.