Agribank achieves 81 per cent prudential standard rating

Agribank achieved a score of 81 per cent on its overall weighted prudential standards rating for 2019 as per the Southern African Development Community Development Finance Resource Centre (SADC-DFRC), a 4 per cent increase from 2018.

According to a statement availed to Nampa here on Tuesday, SADC-DFRC spearheads and supports Prudential Standards, Guidelines and Rating Systems (PSGRS), a policy initiative undertaken by the DFRC to enhance the governance of Development Finance Institutions (DFIs) by ensuring that they comply with key indicators of good practice in governance, financial and operational management.

The statement explained that the ratings, which are compiled by the DFRC, are based on a self-assessment submitted by and peer-reviewed by the 32 member DFIs.

It added that the results are submitted to the Association of African Development Finance Institutions for inclusion in their database in order for members to ascertain their performance against other SADC DFIs.

The score of above 80 per cent is considered to indicate excellent compliance with acceptable standards of DFI governance, the statement said.

The statement said in addition to the self-assessment, Agribank's ratings are also annually reviewed by its external auditors.

Commenting on this rating against its 65 per cent rating in 2017 and 2016, chief executive officer SakariaNghikembua said the Agribank implemented initiatives to improve the governance, financial management and operational environments to ensure the sustainability of the bank so that it can continue to fulfill its mandate.

Source: Namibia Press Agency