Retail Capital, a leading and first Merchant Cash Advance provider in the South African SME market, has retained its national BB+ credit rating from the Global Credit Rating (“GCR”) agency. Despite a downgrade in the sovereign rating of the South African Economy, which was hit even harder by Covid-19, the local small and medium enterprise (SME) financier has retained its national BB+ credit rating while its international rating has dropped by one notch to B- in line with South Africa’s credit downgrade in March, both ratings have a stable outlook. Local and international investors remain confident to place more funding […]
Ethiopia recently announced two measures that represent hopeful steps towards opening its financial system to greater investment and sophistication. These measures could have positive implications for financial inclusion in the country. First, the National Bank of Ethiopia’s (“NBE”) passing of a directive on 18 August to allowing local currency banks to borrow from foreign banks. Ethiopia is one of Africa’s largest countries: its population of 115 million ranks second and its GDP size of USD 105 billion ranking seventh. Annual GDP growth has been one of Africa’s most dynamic, averaging between 8-12% annually since 2010. Potentially fueling future growth is […]
Like elsewhere in Africa, the worst-case health impacts of Covid-19 in the DR Congo have so far not materialized. But like elsewhere, the economic impacts of the crisis have been swift and widespread. In response, the government announced several economic stimulus programs and initiatives. To increase liquidity and funding, the Banque Centrale du Congo (“BCC”) granted a moratorium on the increase in commercial banks’ minimum capital requirements to USD 50 million until January 2022. The BCC also opened a long-term funding facility for banks for up to 24 months and relaxed requirements on the classification of non-performing loans (“NPLs”), while […]
