Fitch affirms Azerbaijan Mortgage and Credit Guarantee Fund’s ratings with stable outlook

Fitch Ratings has affirmed the long-term issuer default ratings of the Azerbaijan Mortgage and Credit Guarantee Fund (AMCGF) at “BBB-” in both foreign and local currencies. The outlook is stable, Azernews reports.

According to Fitch, the Fund is considered a government-related entity with strong links to the Azerbaijani state. The agency highlights the Fund’s key role in promoting affordable housing and supporting business development through facilitating access to finance for small and medium-sized enterprises (SMEs).

Because of these strong ties, Fitch aligns the Fund’s ratings with those of the sovereign. The agency does not assign a standalone credit profile to the Fund, citing its public policy mandate, close operational and financial integration with the state, and dependence on government funding — factors that make a separate assessment uninformative.

Fitch also assesses Azerbaijan’s capacity to provide extraordinary support as “virtually assured,” reflecting a combination of the government’s “commitment to provide support” and its “incentive to do so.”