S&P Global Ratings, an international ratings agency, raised the long-term issuer credit rating of the OPEC Fund for International Development (OPEC Fund) on Wednesday. The upgrade is due to the fund’s approval of over $600 million in new development financing.
The agency announced an upgrade to the fund’s rating from “AA” to “AA+.” In addition, it confirmed the “A-1+” short-term issuer rating and gave a stable outlook.
This funding will support projects in sectors such as transportation, health, education, and energy. It will also encourage climate action, enhance food security, and stimulate international trade.
S&P stated that the OPEC Fund maintains a “very strong” liquidity position. The fund has gained access to capital markets through benchmark and commercial issuances, and it possesses substantial capability to facilitate more lending activities.
Since its establishment in 1976, the OPEC Fund has distributed over $24 billion and aided over 125 countries.
Several countries, including China, Comoros, Liberia, Madagascar, Malawi, and Paraguay, among others, will receive various projects funded by the new $600 million in financing.
