UAE - Mubasher: Moody's Investors Service (Moody's) has affirmed the long-term issuer ratings of the Dubai Electricity and Water Authority (DEWA) at 'Baa2', with a stable outlook.
Moody's affirmed also 'baa2' Baseline Credit Assessment (BCA), according to a press release.
The decision reflects the performance of DEWA's business and financial profile, despite the weakening of this profile following the launch of increased leverage and a dividend payment policy of at least AED 6.2 billion per year for the next five years.
However, the rating agency referred that the listing will enhance DEWA's disclosures and oversight and could result in a more stable financial policy.
Meanwhile, the stable outlook shows DEWA's low business risk profile and the credit linkages between DEWA and the government of Dubai.