Moody’s Ratings, an international credit rating agency, has assigned JSC “National Electric Grid of Uzbekistan” (NEGU) a corporate credit rating of Ba2 for the first time, with a Stable outlook.

This milestone represents an important achievement in NEGU’s systematic engagement with international rating agencies, its efforts to enhance financial transparency, its active participation in the ongoing reforms of Uzbekistan’s energy sector, and the international recognition of the Company’s strategic importance to the country’s national electricity transmission system.

Moody’s Assesses the Company’s Credit Profile at Ba2

Moody’s Ratings has assigned the Company three key credit assessments:

• Ba2 — Corporate Family Rating (CFR): the Company’s overall corporate credit rating;

• Ba2-PD — Probability of Default Rating (PDR): an assessment of the Company’s probability of default;

• ba2 — Baseline Credit Assessment (BCA): an assessment of the Company’s standalone creditworthiness, excluding extraordinary government support.

The Company’s rating outlook has also been set at Stable.

Of particular significance, the Company’s standalone credit assessment of ba2 is at the same rating level as the Republic of Uzbekistan’s Ba2 sovereign credit rating. In determining the final Ba2 rating, Moody’s also took into account the Company’s strategic importance to the national electricity sector, its close ties with the Government, and the likelihood of government support in the event of financial difficulties.

The Company’s Strategic Importance Recognised

According to Moody’s assessment, JSC “National Electric Grid of Uzbekistan” occupies a pivotal position in Uzbekistan’s energy sector as the monopoly provider of electricity transmission services in the country.

The Company performs strategically important functions, including the operation and development of high-voltage transmission networks, the facilitation of cross-border electricity transit, and cooperation with the electricity systems of neighbouring countries.

The Company’s gradual strategic focus on its core electricity transmission business is helping to reduce business model risks, improve the transparency of operations and cash flows, and enhance financial predictability.

Tariff Reforms Support Financial Sustainability

The improvement of tariff-setting mechanisms is another important factor supporting the Company’s credit profile.

According to Moody’s, the 18% tariff increase implemented in August 2026 under the new Regulatory Asset Base (RAB) framework has been one of the factors supporting the Company’s revenue and cash flow generation.

The phased implementation of the new tariff mechanism, together with growth in electricity transmission volumes, is expected to contribute to further improvements in the Company’s financial performance in the coming years.

Moody’s Expects a Positive Trend in the Company’s Financial Performance

Moody’s has provided a positive outlook for the Company’s financial metrics over the medium term.

According to the agency’s assessment, the Moody’s-adjusted FFO / Net Debt ratio is projected to reach:

• 9% in 2025;

• approximately 25% in 2026;

• more than 30% in 2027.

At the same time, the Moody’s-adjusted FFO interest coverage ratio is forecast to improve as follows:

• 3.3x in 2025;

• above 5.5x in 2026;

• 8.0x in 2027.

The projected improvement in these indicators points to an expected strengthening of the Company’s ability to service its debt obligations and maintain financial stability.

Investment Programme — A Key Driver of Long-Term Development

The Company’s large-scale investment programme is aimed at modernising the national electricity transmission infrastructure, expanding and digitalising the grid, and improving the reliability and efficiency of electricity supply.

While Moody’s notes that the investment programme may place pressure on the Company’s free cash flow, the agency highlights several mitigating factors. These include the pre-arranged financing of a substantial portion of capital expenditure, the diversification of the investment programme, and the advanced stage of readiness of key projects.

Cooperation with International Financial Institutions

Access to long-term financing from international financial institutions is also an important element of the Company’s credit profile.

The Company’s cooperation with international financial institutions in implementing investment programmes, together with the availability of government guarantees for a significant portion of its debt portfolio, is viewed as a mitigating factor for financial and liquidity risks.

This, in turn, is important for strengthening the Company’s position as a reliable partner in international financial markets.

Further Strengthening Financial and Corporate Governance

Moody’s assessment identifies the further institutionalisation of the Company’s financial policies as an important area for future development.

The Company plans to adopt formalised targets for dividend policy, debt management and liquidity by the end of 2026. Moody’s views this initiative as a factor that could further strengthen financial discipline.

These measures are expected to bring the Company’s financial management framework closer to international best practices and enhance transparency for investors.

Strengthening the Potential to Access International Capital Markets

The first-ever international corporate credit rating assigned to the Company by Moody’s represents an important step towards taking its engagement with international investors and financial institutions to a new level.

An international credit rating indicates that the Company’s credit profile has been assessed by an independent international rating agency. It also provides an important foundation for potential future fundraising in capital markets, the development of investor relations, and greater transparency on the international financial stage.

A Significant Milestone for the Company

The assignment by Moody’s Ratings of a Ba2 corporate credit rating with a Stable outlook for the first time marks international recognition of the institutional, financial and operational reforms that the Company has been consistently implementing in recent years.

JSC “National Electric Grid of Uzbekistan” remains committed to modernising electricity transmission infrastructure, enhancing the reliability and efficiency of electricity transmission services, strengthening financial sustainability, and further developing its corporate governance and financial management systems in line with international standards.

Department of Economics and Planning, Department for Maintaining Financial Statements in Accordance with International Financial Reporting Standards (IFRS)

Press Service of JSC “National Electric Grid of Uzbekistan”

http://t.me/uzmetaxborotxizmati