Arab News, Sunday, Mar 19, 2023 | Sha'ban 27, 1444
Moody’s revises Saudi Arabia’s outlook to ‘Positive’ and affirms ‘A1’ credit rating
Saudi Arabia:
The international credit rating agency Moody’s updated its credit report for
Saudi Arabia, affirming its “A1” rating for the Kingdom and revising the stable
outlook rating to positive.
The rating is based on Moody’s assessment of the
government’s track record of fiscal policy effectiveness and the comprehensive
regulatory and economic reforms that will support the sustainability of the
economic diversification efforts over the medium and long terms, Saudi Press
Agency reported on Saturday.
These include the reforms and investments in
various non-oil sectors that will reduce the Kingdom’s reliance on hydrocarbons
over time.
The agency also lauded the important role of the
government-sponsored diversification projects and initiatives, supported by
private sector investment, and their positive impact on economic growth and
improved outlook rating.
Moody’s report is a validation of the Kingdom’s
fiscal policies as part of its Vision 2030 programs, and keeping debt at a
moderate level, which is lower than most similarly rated sovereign debts,
offering robust fiscal buffers and a competitive position in the global energy
market, SPA added.