RATING ACTION:
On November 9, 2023, CariCRIS reaffirmed the assigned issuer/corporate credit ratings of CariBBB- (Local Currency Rating) and CariBB+ (Foreign Currency Rating) on the regional rating scale, and jmBBB+ (Local Currency Rating) and jmBBB (Foreign Currency Rating) on the Jamaica national scale for Access Financial Services Limited (AFS or the Group). A stable outlook was assigned.
RATING SENSITIVITY FACTORS:
Factors that could, individually or collectively, lead to an improvement in the ratings and /or outlook include:
- An improvement in the credit risk profile of the Government of Jamaica
- Improving business conditions over the next 12-15 months, thereby leading to growth in total asset base > 18% and/or sustained earnings growth > 10% over the next 2 years
- Diversity in revenue streams through the successful launch of new products
Factors that could, individually or collectively, lead to a lowering of the ratings/or outlook include:
- A deterioration in the credit risk profile of the Government of Jamaica
- Change in AFS’ debt/ TNW or TNW/Total Assets ratios > 1.5 times or < 25% respectively
- A sustained decrease in yield from interest earning assets > 600 basis points over the next 12-15 months, thereby leading to a tightening of the net interest spread earned
- A fall in AFS’ net loans and advances by more than 20%
- A deterioration in AFS’ Gross NPLs/Gross Loans ratio to > 8%
Analysts’ Contact Info:
Anelia Oudit
Mobile : 1-868-487-8364
Kyla Balwant