A fairer credit rating system for African countries could save billions

Subjectivity and bias in credit ratings cost African countries up to $24 billion in interest and over $46 billion in foregone lending. On this episode, host Landry Signé is joined by Raymond Gilpin and Daouda Sembene to discuss their 2024 Foresight Africa piece “Making Africa’s credit ratings more objective.” Gilpin and Sembene discuss the reasons this subjectivity and bias exist, the costly implications, and government and private-sector solutions for improving credit rating objectivity across the continent.  Show notes and transcript Foresight Africa podcast is part of the Brookings Podcast Network. Subscribe and listen on Apple, Spotify, Afripods, and wherever you listen to podcasts. Send feedback email to podcasts@brookings.edu.