BAKU, Azerbaijan, August 5. Azerbaijan's long-term issuer and senior unsecured debt ratings have been upgraded to ‘Ba1’ from ‘Ba2’, Trend reports via the outlook from Moody’s Investors Service.
At the same time, the outlook has been changed from positive to stable.
According to the rating agency, the upgrade reflects the increased policy effectiveness over the recent years, which is seen in improved financial management and increased ability to withstand future shocks.
Despite the COVID-19 pandemic, financial indicators remain strong and are improving faster than expected, thanks to sound budget management in the face of economic recovery and high prices for hydrocarbons, the report said.
“Moody's expects the government's anti-inflation measures and the Central Bank of the Republic of Azerbaijan's (CBAR) proactive macroeconomic policy to contain inflation risks exacerbated by the Russia/Ukraine crisis,” the outlook added.
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