How Uzbekistan Airports' New ESG Rating Unlocks Green Financing Opportunities

International rating agency Sustainable Fitch has assigned Uzbekistan Airports an ESG Entity Rating of ‘3’ with an overall score of 48. This rating reflects an overall average sustainability profile for the state-owned company. The assessment is a significant step for the operator of Uzbekistan’s civil aviation infrastructure. It is expected to bolster the company's ability to attract vital green financing for airports and enhance access to capital.

Uzbekistan Airports manages a large network. This includes 11 international airports and six domestic facilities. The company also oversees subsidiaries for ground handling, cargo, and personnel training. This extensive network served over 13.5 million passengers in 2024.

ESG Rating Details

Sustainable Fitch's ESG Entity Rating scale ranges from ‘1’ to ‘5’. A ‘1’ indicates the highest alignment with best practices. The ‘3’ rating places the operator in the average category. The score of 48 out of 100 also reflects this moderate position.

The rating is crucial for Uzbekistan civil aviation infrastructure development. It helps attract investment for sustainable projects. The country is already focused on green growth strategies.

Environmental and Social Pillars

Under the environmental pillar, the agency gave a positive assessment. This was based on the company’s strategy to achieve net-zero greenhouse gas emissions. This goal covers Scope 1 and Scope 2 emissions by 2050. The company is actively pursuing initiatives. These include reducing carbon intensity and increasing renewable energy use. Uzbekistan Airports incorporated over 301 kWh of renewable energy in 2023.

In the social domain, the company was evaluated favorably. Strengths include a comprehensive safety management system. Low employee turnover and active stakeholder engagement were also noted. However, Sustainable Fitch also highlighted areas for improvement. These include limited gender diversity at the senior management level. The absence of clearly defined social or supply-chain targets was also a concern.

Governance Strengths and Concerns

From a governance standpoint, the arrangements were generally described as robust. The agency emphasized the effective functioning of board committees. Internal audit procedures and transparent remuneration systems were also strong points.

These strengths were partially balanced by specific issues. Concerns included limited board independence. There was also an underrepresentation of women on the board. Furthermore, the most recent IFRS financial statements received a qualified audit opinion. This suggests areas needing urgent attention for improved transparency.

Impact on Green Financing and Capital

The Sustainable Fitch entity rating is a key enabler for future growth. It is expected to significantly improve the company's access to capital. This is especially true for green financing for airports and sustainable infrastructure.

International financial institutions often require such ratings. They use them to assess an entity's airport sustainability profile. The rating is expected to enhance collaboration with partners. It should also improve access to capital on more favorable terms. This will support the company's ambitious Central Asia airport development plans. Uzbekistan Airports is currently planning six new airports.

This development is part of a broader trend in the global aviation industry. More stakeholders are prioritizing ESG performance. This is critical for long-term operational resilience. The rating positions Uzbekistan Airports to lead sustainability efforts in the region. For more commercial aviation news, visit flying.flights. The aviation sector, guided by bodies like ICAO, increasingly ties funding to environmental and social performance.

Attracting this capital is essential for modernization. It will allow the company to replace obsolete equipment. The European Bank for Reconstruction and Development (EBRD) has already provided a loan for this purpose. This ESG rating provides further assurance to global lenders like Fitch Ratings on the company's commitment to sustainability.