Quest Merchant Bank Limited has recorded a significant milestone following GCR Ratings’ upgrade of the Bank’s national scale issuer ratings to BBB+(NG) and A2(NG), alongside a revision of the outlook from Stable to Positive.
The ratings action reflects continued progress in the Bank’s financial strength, market position and growth trajectory, further reinforcing confidence in Quest Merchant Bank’s strategy and its ability to deliver sustainable growth.
Strong Market Position in Nigeria’s Merchant Banking Sector
The rating agency also highlighted the Bank’s strong presence within Nigeria’s merchant banking sector, where Quest Merchant Bank accounted for approximately 30% of the sub-sector’s total assets as of December 31, 2025, reinforcing its position as one of the country’s leading merchant banking institutions.
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Financial Strength and Resilient Performance
Quest Merchant Bank’s financial profile was a key driver of the upgrade, reflecting prudent risk management, a strong liquidity profile and resilient earnings performance.
The Bank maintained a non-performing loan (NPL) ratio of 3.2% as of December 31, 2025, while its liquidity position remained strong as of June 30, 2026.
GCR expects Quest Merchant Bank’s financial profile and competitive position to remain stable over the next 12 to 18 months, supported by the Bank’s scale, earnings capacity and continued growth. The positive outlook further reflects expectations that the Bank’s market position and profile will continue to strengthen as its operations scale.
Management Reacts to Ratings Upgrade
Commenting on the development, Afolabi Olorode, Acting Managing Director/CEO of Quest Merchant Bank Limited, said:
“This upgrade is a strong recognition of the progress Quest Merchant Bank has made in strengthening our business and positioning the Bank for sustainable growth. It reflects the confidence in the strength of our organization, our financial fundamentals and the strategy we have put in place for the next phase of our journey. We remain focused on deepening our capabilities, delivering greater value to our clients and building a high-performing institution that is well positioned to capture the opportunities ahead.”
Outlook Remains Positive
The upgrade to BBB+(NG)/A2(NG) and the revision of the outlook to Positive further reinforce Quest Merchant Bank’s strong market position, financial resilience and growth potential, providing a solid foundation for the Bank’s continued progress.
