A microfinance bank in Nigeria, MyCredit Investments Limited (MIL or FairMoney) has received upgraded national scale issuer ratings from Global Credit Ratings (GCR), Africa’s leading credit rating agency.
FairMoney’s long-term rating has been raised from BBB(NG) to BBB+(NG), while its short-term rating has been upgraded from A3(NG) to A2(NG). The outlook remains Stable.
This upgrade reflects improvements in the Nigerian microfinance sector and reinforces FairMoney’s strong industry position, supported by its scale, advanced technology, and operational efficiency. GCR highlighted FairMoney’s consistent earnings, strong cash flow generation, and flexible funding structure, which is further strengthened by support from its parent company, Predictus SAS.
FairMoney delivered a strong financial performance in the 2024 fiscal year, reporting operating revenue of NGN 112.3 billion.
Commenting on the upgraded rating, Henry Obiekea, Director of FairMoney Nigeria, stated that “over the last three years, we have consistently managed portfolio credit risk downwards without hurting margins.” He emphasized FairMoney’s position as a top earner in the microlending market, supported by high customer demand and high-volume loan disbursement. Furthermore, FairMoney has continued to diversify its offering, now offering loans to small and medium scale businesses.
GCR further noted that despite the competitive challenges associated with its portfolio quality, FairMoney remains a top player in Nigeria’s micro lending sector. The institution continues to leverage proprietary technology, high transaction volumes—with more than 10,000 daily loan requests and disbursements—and strong brand recognition to expand financial access across the country. FairMoney’s strong cash generation, modest debt levels, and stable, low-cost customer deposit base continue to support its overall credit profile.
The Stable Outlook reflects GCR’s expectation that FairMoney will continue improving its portfolio quality over the next 12 to 18 months. This outlook is supported by the company’s increasing use of internal and external data for stronger customer risk assessment, the gradual expansion into secured lending, and a more stable macroeconomic environment. GCR anticipates that FairMoney will strengthen its market share, diversify its earnings base, maintain its NIM below 80%, and sustain current levels of operational cash flow and leverage.
“GCR’s decision to upgrade our ratings is a strong endorsement of the FairMoney platform. It highlights the strength of our business model, our solid financial performance, and our commitment to effective credit risk management”, Obiekea concluded.
