Pakistan’s Credit Outlook Changed to ‘Stable’ By Moody’s
A major global credit rating agency – Moody’s Investors Services – has changed Pakistan’s credit rating to stable from negative. This signals an improvement of foreign currency in flows to the country.
This comes in light of Moody’s expectations that the country’s balance of payment will keep on improving. Further optimism comes from the fact that the country’s stock markets opened at above 40000 points after at least 10 months.
Furthermore, the International Monetary Fund’s (IMF) program is supposed to create further stability for investors in the country by mitigating risks to debt sustainability and government liquidity.
This comes as good news at a time when the currency depreciation has led to an increase in the country’s debt levels. Even though the country is starting at a low level, the country will be able to develop if reforms are carried out consistently.