BAKU, Azerbaijan, November 24. Sustainable Fitch has affirmed State Oil Company of the Azerbaijan Republic’s (SOCAR) Entity Rating at '3' with an entity score of 41, Trend reports via SOCAR.
This reflects SOCAR’s average level of performance across ESG profiles, balancing robust risk management and emissions-reduction targets against persistent challenges in environmental impact, diversity and governance transparency.
The rating primarily considered SOCAR’s decarbonization targets, the stability of its social profile, and its strong risk management system. The company’s integration into international ESG reporting practices also played a key role in the positive outcome. Through this assessment, Sustainable Fitch acknowledged SOCAR’s progress in sustainable development and the alignment of the company’s long-term strategic goals with the expectations of international investors.
Last year, SOCAR reaffirmed its commitment to ESG priorities by becoming the first energy company in the Caspian region to receive a BBB-level ESG rating from MSCI.
Despite challenges such as price fluctuations and operational volatility in oil and gas markets, SOCAR’s strong financial indicators and efforts to enhance transparency and accountability enabled the company to obtain — for the first time in its history — two investment-grade credit ratings (BBB- from Fitch and Baa3 from Moody’s).
For reference, Sustainable Fitch Ratings provides ESG assessment solutions across all active markets worldwide, helping stakeholders make informed decisions in international financial markets.
Sustainable Fitch Ratings evaluates how effectively an organization integrates environmental and social factors into its business model, strategy, and governance, along with its overall performance, commitments, and management efficiency. Ratings range from 1 (highest) to 5 (lowest).