Uganda’s Minister of State for Planning, Amos Lugoloobi, represented President Yoweri Kaguta Museveni at the official launch of the Africa Credit Rating Agency (AfCRA) in Mauritius, marking a significant development in Africa’s efforts to reshape its financial and credit-rating architecture.

The launch brings together African governments, policymakers, financial institutions, investors, credit-rating professionals, development partners and other stakeholders as the continent seeks to strengthen its voice in global financial markets.

AfCRA is an African Union-mandated institution established to provide independent, credible and Africa-focused assessments of creditworthiness. Its creation is intended to address information gaps and ensure that African sovereigns, businesses and other institutions are assessed with greater consideration of the economic realities of the continent.

For years, African policymakers and institutions have raised concerns about the way international credit-rating systems assess African economies. Critics argue that conventional methodologies can fail to fully account for country-specific circumstances, including the structural characteristics, resilience and economic conditions of African markets.

The new agency is expected to provide an additional source of credit opinion rather than simply replace existing international rating agencies. According to information published by the African Union, AfCRA is designed to complement existing global agencies by bringing African data, expertise and context into credit assessments.

The establishment of AfCRA forms part of a wider African effort to strengthen the continent’s financial architecture and improve access to capital.

The agency’s objectives include providing independent and evidence-based ratings for African sovereigns, corporates and institutions, improving transparency in financial markets, reducing information gaps and supporting better-informed investment decisions.

The African Peer Review Mechanism (APRM), operating under the African Union, has played a central role in overseeing the establishment of the agency. The AU endorsed the creation of AfCRA, while subsequent work focused on developing its institutional, governance and methodological frameworks.

Mauritius was selected in 2025 to host AfCRA’s headquarters following a process in which African Union member states were invited to submit expressions of interest. The selection recognised Mauritius’ financial-sector infrastructure, regulatory environment and institutional capacity.

AfCRA is expected to use regional expertise, data and knowledge of African economies to produce credit assessments that take greater account of local and continental circumstances.

The agency’s establishment comes amid continuing discussions over the cost of borrowing for African countries and the role that credit ratings play in determining access to international capital markets.

The United Nations Economic Commission for Africa has also highlighted concerns over the continent’s borrowing costs and argued that credit assessments should better reflect the realities and economic potential of African countries.

AfCRA’s mandate extends beyond sovereign governments. The African Union says the agency is expected to cover sovereigns, sub-sovereigns, corporations and public and private institutions, potentially widening the number of African entities able to receive independent credit assessments.

The launch of AfCRA represents part of a broader push by African institutions to strengthen the continent’s participation in global financial governance.

The agency is intended to provide investors with an additional source of information while giving African economies and businesses a platform through which their creditworthiness can be assessed using methodologies informed by African realities.

For Uganda, Lugoloobi’s participation places the country among the African stakeholders engaging with the continent-wide initiative to improve the way African economies are understood and assessed in international financial markets.

As AfCRA begins its operations, its effectiveness will depend on the credibility, independence, transparency and technical quality of its ratings, as well as the confidence that governments, investors and financial markets place in its assessments.

The launch therefore marks not only the establishment of a new credit-rating institution but also another step in Africa’s continuing effort to build stronger homegrown financial institutions and deepen the continent’s capital markets.