Agribank achieves 81 per cent prudential standard rating
17 Jul 2019 15:40pm
WINDHOEK, 17 JUL (NAMPA) Agribank Namibia achieved a score of 81 per cent on its overall weighted prudential standards rating for 2019 from the Southern African Development Community's Development Finance Resource Centre (SADC-DFRC), a 4 per cent increase from 2018.
According to an Agribank statement availed to Nampa on Tuesday, SADC-DFRC spearheads and supports the Prudential Standards, Guidelines and Rating System (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 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, adding that in addition to the self-assessment, Agribanks 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, Sakaria Nghikembua said 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.
The mandate of the State-owned Agribank of Namibia is to advance money for the promotion of agriculture and related activities.