Multilateral development bank New Development Bank (NDB) has been assigned an AA+ long-term and A-1+ short-term issuer credit rating by Standard & Poor’s Global Ratings (S&P’s).
Earlier this month, Fitch Ratings assigned the bank a long-term issuer default rating of AA+ with a stable outlook and a short-term issuer default rating of F1+.
S&P’s stated that its ratings reflect its opinion that NDB will establish itself as a catalyst in reducing the infrastructure deficits faced by its Brics – Brazil, Russia, India, China and South Africa – members.
The agency assessed the NDB’s financial profile as “extremely strong”, reflecting its robust capitalisation and ample liquidity.
S&P’s also acknowledged robust shareholder support as a key rating factor.
“Given the scale of our future ambitions, the AA+ ratings from S&P’s and Fitch put the bank in an exceptional position to mobilise financial resources at competitive rates, thereby greatly enhancing our lending capacity to our members.
“These ratings also mark the beginning of an exciting period for the bank wherein it will look to establish itself as a benchmark issuer in global capital markets. This milestone enables the bank to offer a full suite of financial products to its public and private sector clients,” said NDB president Kundapur Kamath.