Banking
Bidvest Risks Moody’s Downgrade Over Access Bank Takeover

By Adedapo Adesanya
Ratings agency, Moody’s, has placed the ratings of Bidvest Bank on review for downgrade, raising worries of Access Bank to properly fund the bank amid takeover plans.
Access Bank Plc, the banking subsidiary of Access Holdings Plc, entered into a binding agreement for the acquisition of 100 per cent equity stake in Bidvest Bank Limited in December.
The deal for the 24-year-old South African lender is due to be completed in the second half of 2025, upon regulatory approval.
However, in its new rating, Moody’s flagged the capacity of the Nigerian lender to fund the bank, in comparison with that of its owner, the Bidvest Group.
Bidvest, valued at R88 billion on the Johannesburg Stock Exchange (JSE) in December announced Access Bank as the preferred buyer of its banking unit, Bidvest Bank, in a deal worth R2.8 billion subject to the usual regulatory approvals.
The Bidvest Bank book, which mainly consists of leased assets, loans and advances, totalled R6 billion in December, funded by deposits of R8 billion.
Bidvest Bank generated a trading profit of R371 million and an operating income of R377 million in its most recent financial year.
After the finalisation of the acquisition, Bidvest Bank will be merged with Access Bank’s existing South African subsidiary to create an enlarged platform to anchor the regional growth strategy for the SADC region.
However, Moody’s has placed Bidvest Bank on review for downgrade to the following ratings: the Ba2 domestic-currency long-term issuer rating; the Aa2.za national scale domestic-currency long-term issuer rating; the P-1.za national scale short-term issuer rating; the ba3 Adjusted Baseline Credit Assessment (Adjusted BCA); and the b2 BCA.
The main reason for the potential downgrade is that Access Bank’s rating (long-term deposit ratings of Caa1 positive, Baseline Credit Assessment of caa1) is far lower than Bidvest Bank’s current rating (long-term Corporate Family Ratings of Ba2 stable).
Access Bank’s Caa1 rating is judged as poor quality and very high credit risk.
“The review for downgrade on the domestic-currency long-term issuer rating and the Adjusted BCA of Bidvest Bank will primarily focus on assessing the progress in the acquisition process, including the obtention of regulatory approvals, and the likelihood of the acquisition being completed,” said Moody’s.
“A successful completion of the acquisition by Access Bank could lead to a multi-notch downgrade of Bidvest Bank’s issuer rating due to the loss of two of the notches of parental support uplift from Bidvest Group.”
“This is because the potential new shareholder, Access Bank, has both a lower capacity than Bidvest Group to support the bank, as indicated by the lower rating of Access Bank in comparison to that of Bidvest Group; and a lower rating than Bidvest Bank itself.”
Moody’s said that Bidvest Bank’s current Ba2 domestic-currency long-term issuer rating benefits from two notches of uplift from its b2 BCA. This reflects the high chance of affiliate support from Bidvest Group if the need arises.
The Bidvest Group is expected to safeguard the bank’s financial health and operational stability despite the impending divestment.
The review for downgrade on the bank’s standalone BCA looks at the uncertainties regarding the future strategic direction of the bank post-disposal.
Moody’s said that this “includes the potential disruption to its activities during the disposal process as well as the bank’s post-acquisition financial fundamentals, which will depend on how it is combined with Access Bank’s existing South African operations.”
It added that the review will also assess whether the current positioning of Bidvest Bank’s b2 standalone BCA two notches above Access Bank’s caa1 standalone BCA would remain appropriate in case of successful completion of the acquisition.
Moody’s said a parent entity’s creditworthiness can directly and indirectly affect the credit standing of its bank subsidiaries.
“The bank’s b2 BCA reflects the bank’s solid capitalisation, high liquidity and improving profitability, underpinned by solid niche franchises in the fleet finance and management segment, as well as in the foreign exchange segment,” said Moody’s
“These strengths are moderated by the bank’s weak asset quality and relatively modest deposit-gathering franchise.”
“There is limited upside potential on the ratings given the review for downgrade.”
Banking
Advans Nigeria Appoints Odetayo as Deputy Chief Executive Officer

By Modupe Gbadeyanka
To improve operational efficiency, Advans La Fayette Microfinance Bank has appointed Mrs Elizabeth Odetayo as the new Deputy Chief Executive Officer.
She will work closely with the Chief Executive Officer, Mr Gaetan Debuchy, and the executive team to drive the bank’s strategic initiatives, optimize operational performance, and expand its reach to empower more individuals and businesses with access to tailored financial solutions.
Before her new appointment, she served as the Chief Financial Officer (CFO) of Advans La Fayette Microfinance, where she played a pivotal role in shaping the bank’s financial strategy, ensuring robust fiscal management, and supporting its mission to provide inclusive financial services to underserved communities.
A statement from the financial institution disclosed that the appointment of Mrs Odetayo became effective Saturday, February 1, 2025.
She is expected to bring her over 20 years of wealth of experience and a proven track record of excellence in the financial services sector to her new role.
“This strategic appointment underscores the bank’s commitment to fostering leadership from within and strengthening its executive team to drive continued growth and innovation,” a part of the statement read.
Mrs Odetayo has demonstrated exceptional leadership, strategic vision, and a deep understanding of the microfinance industry.
Her expertise in financial management, risk assessment, and operational efficiency has been instrumental in advancing the bank’s objectives and enhancing its impact on clients and stakeholders.
Commenting on the appointment, Mr Debuchy said, “Elizabeth’s appointment as Deputy CEO is a testament to her dedication, expertise, and outstanding contributions to our bank.
“Her deep understanding of our operations and her commitment to our mission position her to help steer the bank toward achieving its strategic goals.
“We are confident that her leadership will further strengthen our ability to deliver impactful financial services to our clients.”
In her reaction, Mrs Odetayo said, “I am honored to take on this new responsibility and to continue contributing to the growth and success of the bank.
“I look forward to collaborating with our talented team to drive innovation, enhance customer experience, and expand our reach to create lasting value for the communities we serve.”
Advans La Fayette Microfinance remains committed to its mission of fostering financial inclusion and empowering individuals and businesses through accessible and sustainable financial solutions.
The appointment of Mrs Odetayo as DCEO marks an exciting new chapter in the bank’s journey toward achieving its vision.
Her promotion and over 130 staff in 2024 is a demonstration of the bank’s commitment to empowering its employees, fostering a culture of excellence, and driving productivity against all odds. By investing in internal talent, Advans continues to build a strong, motivated workforce that is equipped to deliver on its mission and vision.
Banking
NIBSS Upgrades NQR Payment to Reduce Cash Dependency

By Adedapo Adesanya
The Nigeria Inter-Bank Settlement System (NIBSS) has unveiled significant upgrades to its Nigeria Quick Response (NQR) payment system.
The mechanism is designed to reduce cash dependency and streamline and enhance digital transactions for businesses and individuals across Nigeria.
The NQR payment system, launched in March 2021, is part of Nigeria’s broader push to promote cashless transactions across the country.
The system allows customers to make payments by scanning a QR code, which redirects them to their bank or mobile wallet to complete the payment. It is also timely and avoids delays.
Speaking on the development, Mr Premier Oiwoh, MD/CEO of NIBSS, emphasized the evolving capabilities of NQR and how it is poised to revolutionize payments, transactions are processed instantly, ensuring immediate settlement.
“This account is the only QR in the world that is instant for the beneficiary,” he said.
He noted that the system is also far more robust, offering smoother and more secure transactions. It now supports both Person-to-Person (P2P) and Entity-to-Person (E2P) payments, significantly expanding its use cases.
“Beyond the P2P, there is also E2P on the MQR, and most of the bank apps have it today.
“My dream is to have hawkers on the streets being able to present their QR in the form of an ID card and then make payment. Cash cannot be everywhere, what we are all looking for is payment” he said.
“You can also send your personal QR code to anybody to pay you rather than send an account number,” he said
Mr Oiwoh announced that a new pricing structure for NQR payment will take effect on March 1, 2021.
The use of QR codes is expected to significantly reduce Nigerians heavy reliance on cash, thereby contributing to the digital economy infrastructure and financial inclusion agenda of the Central Bank of Nigeria (CBN).
Banking
UBA Resolves ‘Transfers to Other Banks’ Glitch on Mobile Banking App

By Aduragbemi Omiyale
The United Bank for Africa (UBA) Plc has restored full service to its mobile banking app after some customers experienced difficulties completing financial transactions from the platform.
Business Post reports that earlier, some UBA customers could not make fund transfers to other financial institutions from the mobile app.
The lender quickly swung into action to resolve the issue and has fully restored its mobile banking app service, with customers now able to send funds to other banks via the platform.
Confirming this development, the bank, in a notice to customers on Thursday afternoon, said, “We are pleased to inform you that the transfers to other banks service has been restored on the UBA Mobile Banking App.
“We sincerely apologise for any inconvenience this may have caused and reassure you of our commitment to continuously improve our services.”
While thanking them for their patience and understanding, UBA advised any customer still experiencing “any further issues [to] please contact our CFC support team.”
“For enquiries, please contact our 24-hour Customer Fulfilment Centre (CFC) on 02012808822 or send us an email at [email protected],” the message said.
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