Ratings agency cites improved economic flexibility
International ratings agency Standard & Poor’s (S&P) has raised Morocco’s long and short-term foreign currency sovereign credit ratings to BBB- and A-3 respectively, citing increased economic flexibility.
S&P also raised Morocco’s long-term local currency credit rating to BBB+ from BBB on 23 March, and its short-term local currency credit rating to A-2 from A-3.
“The upgrade reflects our view of the Moroccan government’s improved economic policy flexibility as a result of its track record in reducing the country’s fiscal and external debt burdens over the past decade,” says S&P credit analyst Veronique Paillat-Chayrigues.
“We also factor in the high political stability and the government’s momentum for its reform programme, including large public works, which has raised Morocco’s trend growth prospects, and contributed to improving gradually the country’s still weak social indicators,” adds Paillat-Chayrigues.