ABSA GROUP LIMITED - ABGI/ BIABS - Moody's downgrades credit ratings following downgrade on the South African sovereign

ABGI/ BIABS - Moody's downgrades credit ratings following downgrade on the South African sovereign

ABSA GROUP LIMITED
(formerly known as Barclays Africa Group Limited)
(Incorporated with limited liability in South Africa under registration number 1986/003934/06)
Bond Issuer Code: ABGI
(“ABSA Group” or “ABGI”)

ABSA BANK LIMITED
(Incorporated with limited liability in South Africa under registration number 1986/004794/06)
Bond Issuer Code: BIABS
(“Absa Bank”)

ABSA GROUP LIMITED AND ABSA BANK LIMITED: MOODY’S DOWNGRADES CREDIT RATINGS
FOLLOWING DOWNGRADE ON THE SOUTH AFRICAN SOVEREIGN

Notice is hereby given in terms of the Debt Listings Requirements of the JSE Limited that Moody’s Investor
Services (“Moody’s”) has on 24 November 2020 lowered the long-term local currency and foreign currency
deposit ratings of Absa Bank Limited to Ba2 from Ba1, and the long-term issuer ratings of Absa Group
Limited to Ba3 from Ba2.The outlook on both ratings remains negative.

These rating actions follow Moody’s decision to downgrade the South African government’s rating to Ba2
from Ba1, with a negative outlook, on 20 November 2020. Moody’s does not rate financial institutions above
the credit profile of the government.

The above ratings actions do not reflect any fundamental change in the credit quality of Absa Group and
Absa Bank Limited.

For additional details on the rationale of the ratings action please see the press release by Moody’s on 24
November 2020 titled “Moody's downgrades the deposit ratings of five South African banks following the
downgrade of the South African sovereign”

Summary of credit rating change:

                                                    To                 From
 Absa Group Limited
 Long-term issuer rating                            Ba3                Ba2

 Subordinated Tier II (Foreign)                     B1                 Ba3

 Absa Bank Limited
 Long-term local currency                           Ba2                Ba1

 Long-term foreign currency                         Ba2                Ba1

 Long-term counterparty risk rating                 Ba1                Baa3

 Short-term counterparty risk rating                NP                 P-3

Johannesburg
26 November 2020

Debt sponsor to ABSA Group Limited and Absa Bank Limited:
Absa Bank Limited, acting through its Corporate and Investment Banking division

Date: 26-11-2020 03:17:00
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