Marcos admin aims for ‘A’ level investment grade rating

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The Marcos administration is gunning for an “A” level investment grade rating from at least one of the three major global credit rating agencies before the end of its term in June 2028, according to Finance Secretary Benjamin Diokno. | RonWDomingoINQ /PDI

Still, Diokno said Fitch was the most conservative among the three, giving the Philippines the lowest rating as a sovereign long-term borrower.

Moody’s rates the Philippines at “Baa2,” which is one notch above the minimum investment grade of Baa3 in its rating scale. Baa2 is also two notches away from the A-level bottom rung of “A.” “The are updating every two years which is rather slow, but our goal is to get an ‘A’ rating from at least one of the three majors before the President’s term ends,” Diokno said.

Meanwhile, China Lianhe’s AAA rating indicates that a borrower has extremely strong capacity to pay its financial commitments; is highly unlikely to be affected by adverse economic conditions; and has the lowest expectation of default risk.

 

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