The Philippines has received another investment grade rating this year as Moody’s Investors Service upgraded the government’s rating one notch to Baa3 from Ba1.
In a statement on Thursday, the Moody’s said that its latest rating action for the country concludes the review for upgrade announced on Moody’s now adds to credit ratings agencies such as Fitch Ratings, Standard & Poor’s and Japan Credit Rating Agency Ltd. who have already raised the Philippines to an investment grade status.
The rating agency noted that it also assigned a positive outlook to the country’s new Baa3 rating.
The Philippines’ robust economic performance; ongoing fiscal and debt consolidation; and political stability and improved governance were the factors cited by Moody’s in assigning the investment grade rating for the country
“In addition, the stability of the Philippines’ funding conditions—during the recent bout of market volatility in emerging markets—points to the country’s relative lack of vulnerability to external financial shocks, such as those arising from anticipated tapering by the US Federal Reserve of its quantitative easing policy,” it said. MAYVELIN U. CARABALLO