Rating Release
Agusto & Co. affirms the ‘Aaa’ rating assigned to Nigeria Sovereign Investment Authority, with a stable outlook
The rating expires on 30 June 2025.
Agusto & Co. affirms the Aaa (NGA) rating assigned to Nigeria Sovereign Investment Authority (‘NSIA’ or ‘the Authority’). The rating reflects NSIA’s strategic importance in providing stability for Nigeria during financial stress, enhancing the development of Nigeria’s infrastructure and building a savings base for future generations. The Authority’s strong capitalisation, good asset quality and well-diversified investment portfolio are also considered rating positives. However, NSIA’s exposure to the vagaries of the Nigerian political terrain and lingering global headwinds constrains the rating. Our review of the ESG placed more emphasis on governance. Given that political interference in the Board’s tenor could impair its independence and adversely impact some strategic oversight of the Authority, we have assigned a ‘3’ ESG score, denoting that governance issues have material contributions to credit risk.
