African Union to Launch First Ever African Credit Rating Agency to Challenge Big 3
Last update: October 7, 2026
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Could a homegrown agency finally give Africa a fairer deal on borrowing costs
The African Union will launch the continent's first credit rating agency on Wednesday, October 7, in Port Louis, Mauritius, according to cbinews.tv. Called Africa Credit Rating Agency or AfCRA, the plan was endorsed back in 2018.
African economies average B to B minus versus BB for other emerging regions. That lower score means higher interest rates. The AU says external debt service jumped to 163 billion dollars in 2024 from 61 billion in 2010, and in many countries interest now exceeds health and education budgets. That is fewer clinics and fewer teachers for ordinary families.
23 economies still have no rating at all from S and P and Fitch, so they struggle to attract investors. Leaders argue downgrades come too fast during crises like Covid, a claim the big three reject.
AfCRA will be based in Mauritius and aims to offer more locally rooted assessments. But credibility is everything. Finance lecturer Dennis Shen said an agency is tested most when conclusions are uncomfortable, while former Nigerian Vice President Yemi Osinbajo said it must meet global standards, not just national pride.
If it succeeds, borrowing could become fairer. If not, markets may ignore it.
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