The African Union has unveiled the African Credit Rating Agency to address concerns over biased evaluations by global rating firms.
Kenyan President William Ruto, speaking at the launch in Addis Ababa, criticized international agencies for using flawed models and outdated assumptions, which he said unfairly inflate risks and borrowing costs for African nations.
https://x.com/WilliamsRuto/status/1890281020748173409
Ruto emphasized that a one-notch rating improvement could unlock $15.5 billion in funding, reducing reliance on aid and supporting infrastructure development. With only two African countries currently rated as investment-grade, the new agency aims to provide a fairer assessment of Africa’s economic potential.
