Moody's upgrades Philippines rating
2012-10-29 11:09:54
Moody's Investors Service on Monday upgraded sovereign ratings of Philippines citing improved economic performance and fiscal revenue buoyancy.
The foreign and local currency long-term bond ratings were lifted to Ba1, just one notch below investment grade, from Ba2. The ratings outlook remain stable.
The rating upgrade was underpinned by enhanced prospects for Philippines medium-term growth. Further, Moody's noted that the stable financial system poses limited contingent risks and provides a stable source of financing for the government.
In contrast to similarly rated countries, the agency said Philippine is poised to record a combination of faster growth, lower inflation, exchange rate appreciation, and an increase in foreign exchange reserves, while maintaining trend debt consolidation.