Fitch Says Access Bank Has Sufficient FX Liquidity to Repay $1 Billion Debt

Access Bank Plc has retained a stable credit outlook from Fitch Ratings as the global rating agency expressed confidence in the lender’s ability to meet nearly $1 billion in foreign currency debt obligations scheduled for repayment later this year.

In its latest assessment, Fitch affirmed the bank’s Long-Term Issuer Default Rating at “B” with a Stable Outlook, citing strong foreign currency liquidity and improving international diversification despite ongoing pressures within Nigeria’s operating environment.

The bank is expected to settle two major hard-currency obligations in the third quarter of 2026, including a $500 million senior Eurobond maturity in September and a $500 million Additional Tier 1 Eurobond expected to become callable in October.

According to Fitch, Access Bank currently maintains enough foreign currency liquidity to navigate the repayments without materially weakening its funding structure or triggering broader balance sheet stress.

Analysts at the agency noted that the lender’s growing international presence has strengthened its liquidity profile and reduced concentration risks tied to Nigeria’s domestic market conditions.

The report highlighted the bank’s expanding cross-border operations as a major factor supporting its external funding resilience, particularly following the integration of Mauritius-based AfrAsia Bank into the group’s structure.

Fitch stated that the acquisition improved the quality of the bank’s balance sheet by increasing exposure to investment-grade assets and enhancing operational diversification outside Nigeria.

Despite the positive liquidity assessment, the agency pointed to a relatively narrow capital cushion at the standalone level.

Access Bank’s Capital Adequacy Ratio stood at 17.4 percent in the first quarter of 2026 compared to the 15 percent minimum regulatory requirement applicable to systemically important banks.

Market analysts noted that the repayment of foreign currency instruments could temporarily reduce capital strength due to exchange rate accounting effects associated with earlier naira devaluation adjustments.

However, the bank has reportedly begun implementing measures aimed at strengthening its capital base through additional capital raising initiatives, retained earnings growth and the potential divestment of minority stakes in select offshore subsidiaries.

Fitch also maintained that the bank’s asset quality indicators remained stable.

The lender’s impaired loan ratio closed at approximately three percent at the end of the 2025 financial year, supported by moderate exposure to the oil and gas sector relative to many domestic peers.

The assessment comes as Nigerian banks continue to navigate tighter regulatory capital requirements, elevated funding costs and foreign exchange volatility while managing international obligations and expansion strategies.