African Union to launch African Credit Rating Agency in October

The African Union is set to officially launch the African Credit Rating Agency (AfCRA) on October 7, 2026, in Port Louis, Mauritius. The agency aims to provide independent, context-driven credit opinions for African sovereign and corporate entities, addressing long-standing concerns regarding skewed risk perceptions and the ‘Africa premium’ that has historically increased borrowing costs for the continent.

Nigerian President Bola Tinubu has welcomed the announcement, noting that he has advocated for such an institution in previous engagements, including a Financial Times article in February and the Africa CEO Forum in Kigali. Tinubu emphasized that the continent is not seeking preferential treatment, but rather ‘fair ratings, grounded in our fundamentals and in the reforms our economies are actually carrying out.’

To succeed, Tinubu noted that AfCRA must establish credibility and earn the confidence of global capital markets through professionalism, independence, and rigorous assessments. The initiative seeks to challenge the dominance of major global rating agencies and provide assessments that more accurately reflect local economic realities and institutional developments.