African Trade Insurance Agency gets Standard & Poor’s “A/Stable” credit rating

Standard & Poor’s (S&P), an international rating agency, has reaffirmed its “A/Stable” credit rating for the African Trade Insurance Agency (ATI).

ATI’s rating was based on the strong capitalization, liquidity, financial flexibility and investments by the company.

The credit rating report for ATI by S&P was released September 29, 2011, projecting a ‘stable’ outlook for the pan-African insurer influenced by its strategy to expand into new African markets and increase revenue and membership capital.

In the liquidity category, ATI’s position was listed as ‘strong’ and scored ‘extremely strong’ in the area of capitalization.

S&P also commended the organisation’s management for its clear and focused management and corporate strategy.

Commenting on the ratings ATI’s Chief Executive Officer, George Otieno in a statement October 13, 2011 said “This is an important milestone for us because it reinforces that we are on the right track to ensuring that the fundamentals are sound. This includes hiring the right people, managing risks effectively and keeping an eye on the bottom line.”

Credit ratings are professional opinions of an organisation’s ability to meet its financial obligations and to service its debts.

By Ekow Quandzie