Afreximbank is fiercely defending itself against Fitch Ratings’ claim that it faces significant losses from risky loans to countries like Ghana and South Sudan. Fitch accused the bank of weak risk management and overstating loan performance, prompting a rating downgrade. Afreximbank refuted the allegations, insisting it operates transparently and complies with global standards. At the heart of the dispute is whether the bank deserves “preferred creditor” status—exempting it from debt restructuring—a label critics say it hasn’t earned. With Ghana pushing for loan restructuring and doubts over the bank’s accounting, the standoff has rattled investors. A potential downgrade to junk status looms, threatening Afreximbank’s funding model and reshaping perceptions of Africa’s once low-key trade lender.
FT
