Improving Governance in Africa
Mitigating interest rate risk
■ Minimized by matching interest rate
characteristics of assets and liabilities
■ Stabilize net interest margin
Managing market risks
Minimize credit risk exposure with
credit and derivative counterparties
■ Minimum credit ratings established
for investments (A)
Minimum ratings for derivative
counterparties (A-)
Prohibited from taking foreign exchange
rate risk
■ Liabilities in any currency matched
with assets in the same currency
Currency composition of net
assets aligned with the SDR*
currency basket
Conservative
principles
underlying
our asset and
liability
management
Relying on our own resources in the
face of shocks before shareholders'
support materializes
◉
■ Ability to meet net cash flow
requirements including debt
redemption and loan disbursements
for 1-year without access to
additional resources
*SDR: Special Drawing Rights
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