ISLAMABAD: International rating agency Moody's has started considering lowering Pakistan's domestic and foreign currency ratings. Rating agency Moody's has said that Pakistan's credit rating is being considered at the request of the G20 countries in terms of debt relief.
In this regard, Moody's said that the delay in repayment of government loans is unlikely to affect the rating, however, during the review period, it will be seen what strategy Pakistan adopts in terms of repayment of commercial loans. The rating of Pakistan International Sukuk Company Limited has also been kept under review for downgrading while the ratings of all other categories have not been changed. According to Moody's, Pakistan's GDP may decline by up to one per cent in the current financial year. However, next fiscal year, the GDP growth rate may be 2 to 3 percent. The financial deficit of 10 percent of GDP, and public debt could reach 85 to 90 percent of GDP. It may be recalled that Moody's had earlier estimated that Pakistan's GDP would decline by 0.5 percent this financial year due to Corona virus. It may be recalled that the government has given a relief package of Rs 1,200 billion, while relief from the IMF's 1. 1.4 billion emergency loan and repayment of external loans will help alleviate the economic woes. Deficit
In this regard, Moody's said that the delay in repayment of government loans is unlikely to affect the rating, however, during the review period, it will be seen what strategy Pakistan adopts in terms of repayment of commercial loans. The rating of Pakistan International Sukuk Company Limited has also been kept under review for downgrading while the ratings of all other categories have not been changed. According to Moody's, Pakistan's GDP may decline by up to one per cent in the current financial year. However, next fiscal year, the GDP growth rate may be 2 to 3 percent. The financial deficit of 10 percent of GDP, and public debt could reach 85 to 90 percent of GDP. It may be recalled that Moody's had earlier estimated that Pakistan's GDP would decline by 0.5 percent this financial year due to Corona virus. It may be recalled that the government has given a relief package of Rs 1,200 billion, while relief from the IMF's 1. 1.4 billion emergency loan and repayment of external loans will help alleviate the economic woes. Deficit
Moody's has started considering lowering Pakistan's
Reviewed by Muhammad Umar
on
May 17, 2020
Rating:
Reviewed by Muhammad Umar
on
May 17, 2020
Rating:
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