Chinese Agency Grants AAA Rating to Russia's Gazprom Amid Sanctions

Chinese rating agency CSCI Pengyuan has assigned a domestic AAA rating to Russian energy giant Gazprom, reflecting its strategic importance and strong business profile amid ongoing Western sanctions. This rating potentially paves the way for Gazprom to access China's domestic bond market, offering a critical financial lifeline as it faces significant geopolitical risks and declining export revenues due to sanctions. The move coincides with strengthened Russia-China energy cooperation, including the recent approval of the Power of Siberia 2 pipeline during President Vladimir Putin's visit to Beijing. Senior Chinese financial regulators have expressed support for Russian energy firms' plans to issue renminbi-denominated "panda bonds," signaling Beijing's intent to deepen economic ties with Russia despite geopolitical challenges. While the rating acknowledges operational uncertainties, it underscores Gazprom's pivotal role in the global and Russian energy markets and highlights China's growing financial engagement with Russian entities amid Western restrictions.