FITCH DOWNGRADES ABSA GROUP'S CREDIT RATING

Absa Group Limited

(Previously known as Barclays Africa Group Limited)

ISIN: XS1799058174

01 December 2020

FITCH downgrades ABSA GROUP LIMITED TO 'BB-' with NEGATIVE OUTLOOK FOLLOWING DOWNGRADE OF THE SOVEREIGN

Notice is hereby given that Fitch Ratings has on 27 November 2020, downgraded the Long-Term Issuer Default Ratings (IDRs) and Viability Ratings (VRs) of five South African banks and bank holding companies, including Absa Group Limited ("Absa"). Absa's IDR and VR were downgraded to BB- and bb- respectively. The outlook is negative.

The rating actions follow Fitch's downgrade of the South African sovereign's Long-Term IDRs to 'BB-' from 'BB' on 20 November 2020. Fitch does not rate the South African banks above the sovereign given the high concentration of their activities within South Africa and significant sovereign exposure.

The negative outlook assigned to Absa's IDRs is aligned to peers and the negative outlook on the sovereign rating. 

For additional details on the rationale of the ratings action please see the Fitch Ratings press release dated 27 November 2020, titled "Fitch Downgrades South African Banks to 'BB-'/Negative on Sovereign Downgrade." 

Summary of credit rating change:

Absa Group Limited

For further information, please contact:

Absa Group Limited Investor Relations

Email: [email protected]