• Moody’s will become majority shareholder of Egypt-based credit rating agency MERIS.

• MERIS will keep its local management and brand while tapping Moody’s global expertise.

• The move follows Moody’s 2024 acquisition of South Africa’s GCR Ratings to strengthen its African footprint.

Moody’s Corporation, parent company of Moody’s Ratings, announced on August 25 that it plans to increase its stake in Middle East Rating & Investors Service (MERIS), a credit rating agency based in Egypt.

Moody’s, already a shareholder in MERIS, now plans to raise its stake to majority control. The company did not disclose the size of the increase or the value of the transaction.

Moody’s said MERIS, founded in 2003 as a joint venture between Moody’s and Egyptian consultancy FinBi, will maintain operational independence. The agency provides national-scale ratings for banks, corporations, and structured finance MERIS will continue to develop its own methodologies, publish analyses under its brand, and retain local leadership, while benefiting from Moody’s global network and technical expertise.

“By deepening our association with Moody’s global network and leveraging its expertise alongside our established local presence, we can further enhance our offerings and contribute to the continued growth and development of Egypt’s financial markets,” said Dr. Amr Hassanein, founder and managing director of MERIS.

Moody’s Africa strategy

The move is part of Moody’s wider effort to grow its presence in Africa and the Middle East through local partnerships and global expertise. In 2024, the agency acquired full ownership of Global Credit Rating Company Limited (GCR Ratings), a South African agency active in several African markets.

Moody’s expansion comes at a time when international rating firms face mounting criticism over their approach to African economies. The “Big Three” — Moody’s, Fitch, and S&P Global Ratings — are often accused of bias and of failing to capture local realities. A recent case involved Fitch Ratings, criticized for downgrading Afreximbank, the African Export-Import Bank.

In response, the African Union has launched its own regional rating body, the African Credit Rating Agency (AfCRA), which aims to better reflect the continent’s economic and financial conditions. The agency is expected to begin operations by the end of September 2025.