The long-term issuer default (IDR) rating of UBA Cameroun SA (UBA CAM) has been confirmed to 'B-' by Fitch Ratings in London on December 20, 2022.

UBA CAM's IDRs are driven by its intrinsic strength as captured by the bank's viability rating (VR) of 'b-'. They are also supported by the potential support of UBA CAM's parent bank, United Bank For Africa Plc ( UBA ; B-/Stable), expressed by a shareholder support note of “b-.” The VR takes into account the acceptable profitability, stable funding profile, and reasonable liquidity of UBA CAM, reflecting the bank's low risk profile and asset quality, moderate capitalization, modest franchise, and concentrated business model.

Large companies considered to be the best credits in the country face difficult operating conditions due to the weak rule of law and cumbersome tax procedures. Also, the limited liquidity position of the government and public enterprises (PEs) has been an increasing source of vulnerability for banks. In terms of total assets, UBA CAM is the largest rated subsidiary in the group UBA and was the second largest in terms of loans at the end of 3Q22, representing around 5% of total group loans.