President Tinubu supports African Credit Rating Agency launch
President Bola Tinubu has welcomed the upcoming launch of the African Credit Rating Agency AfCRA on October 7 in Port Louis, Mauritius. Tinubu stated on his official X account that this initiative represents a step towards establishing financial institutions that better understand African economies and risks. He previously advocated for such an institution in a February 2026 Financial Times article and at the Africa CEO Forum in Kigali, Rwanda, in May. The President believes AfCRA will offer an alternative assessment of African economies, providing fairer evaluations based on economic fundamentals and ongoing reforms, rather than seeking preferential treatment. He highlighted that African countries often pay higher borrowing costs due to the "Africa premium" imposed by international credit rating agencies like Fitch, Moody's, and S&P Global Ratings, whose assessments sometimes fail to capture local economic conditions. Tinubu cited a 2023 United Nations Development Programme report estimating that credit rating shortcomings cost Africa approximately $75 billion annually in excess interest and foregone lending. He argued that an African agency could address the global agencies' limited on-the-ground knowledge of African economies. While supporting AfCRA, Tinubu emphasized it should not replace established global agencies and must earn international investors' confidence through independence and rigorous assessments.
