Outlook stable: S&P affirms Pakistan’s ratings at ‘B-/B’

Pakistan has significant security risks, weak institutional and governance effectiveness.


Reuters March 31, 2014 1 min read
“We believe Pakistan government’s reform efforts and the International Monetary Fund lending programme will help contain external liquidity risks and gradually strengthen the country’s fiscal and economic profiles,” S&P said

NEW YORK:


Standard and Poor’s ratings agency has affirmed ‘B-’ long-term and ‘B’ short-term sovereign credit ratings on Pakistan with a stable outlook.


“We believe Pakistan government’s reform efforts and the International Monetary Fund lending programme will help contain external liquidity risks and gradually strengthen the country’s fiscal and economic profiles,” S&P said in its assessment on Monday.


However, Pakistan has significant security risks, weak institutional and governance effectiveness, low external liquidity, low per capita income, a weak fiscal profile, high public debt and a lack of monetary flexibility, it pointed out.


The stable outlook on the long-term rating balances the potential benefits of the government’s reform efforts and the IMF lending programme against vulnerabilities from external liquidity risk and domestic and external security risks, S&P said.

 





































































 Sovereigns Rating List
P
Pakistan (Islamic Republic of)

B-



B-



B-


Panama (Republic of)

BBB



BBB



AAA


Papua New Guinea (Independent State of)

B+



B+



BB


Paraguay (Republic of)

BB-



BB-



BB


Peru (Republic of)

A-



BBB+



A


Philippines (Republic of the)

BBB-



BBB-



BBB


Poland (Republic of)

A



A-



A+


Portugal (Republic of) (Unsolicited Ratings)

BB



BB



AAA


Q
Qatar (State of)

AA



AA



AA+



Published in The Express Tribune, April 1st, 2014.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.

COMMENTS

Replying to X

Comments are moderated and generally will be posted if they are on-topic and not abusive.

For more information, please see our Comments FAQ