Fitch Ratings has affirmed the Caribbean Development Bank’s (CDB) Long-Term Issuer Default Rating (IDR) at ‘AA+’ with a Stable Outlook.
In its rating action commentary issued on February 5, 2026, the agency said the rating reflects the bank’s strong standalone credit profile and financial position. “CDB’s ‘AA+’ Long-Term IDR reflects its Standalone Credit Profile (SCP) of ‘aa+’, underpinned by liquidity and solvency assessments of ‘aaa’ and ‘aa+’, respectively,” Fitch stated.
Fitch highlighted the bank’s “excellent capitalisation” as a key driver behind the rating affirmation, noting that as of end-September 2025, the usable capital to risk-weighted assets ratio stood at 78%, significantly above the 35% threshold for an excellent assessment. The equity to adjusted assets and guarantees ratio was 46%, also well above the 25% benchmark. According to the agency, these metrics are strong compared with peers and underscore the resilience of the bank’s capitalisation, supported by solid loan performance.
Other factors cited include the bank’s “low” credit risk and “very high liquidity.” Fitch assessed the bank’s preferred creditor status as “excellent,” while liquidity was ranked at ‘aaa’ due to strong liquidity buffers and the high credit quality of its treasury portfolio.
The agency also referenced the US$450 million Exposure Exchange Agreement executed in May 2025 between the Caribbean Development Bank and the Central American Bank for Economic Integration (CABEI), noting that the arrangement reduced concentration among the bank’s top five borrowers. This development improved the bank’s concentration assessment to “low” from “moderate.”
Fitch further indicated that the bank’s Special Development Fund, which is delinked from its credit profile, reduces the risk of unexpected negative impacts on its ordinary capital resources balance sheet while maintaining its ability to provide concessional financing to the region’s poorest member countries.
Responding to the rating affirmation, CDB President Daniel M. Best said the decision validates the institution’s strategic direction.
“This affirmation from Fitch is a powerful validation of our “Rebirth” Vision and strategic pivot toward aggressive financial innovation,” CDB President, Mr. Daniel M. Best, explained. “By maintaining ‘excellent’ capitalisation and executing landmark initiatives like our Exposure Exchange Agreement, we are supporting Caribbean resilience. The ‘AA+’ rating ensures that CDB remains a formidable engine for sustainable development, capable of securing the low-cost capital our member countries need to thrive in an uncertain global climate.”
 Long-Term Issuer Default Rating (IDR) at ‘AA+’ with a Stable Outlook.){kind=link}