Japan Credit Rating reconfirms Romania’s rating
Rating agency Japan Credit Rating reconfirmed Romania’s BBB- rating with a stable outlook, for long-term liabilities issued in foreign currency, and also the BBB rating with a stable outlook for long-term liabilities issued in local currency, according to the website of the Ministry of Public Finance (MFP).
Romania’s rating is justified primarily by reducing the budget deficit through structural reforms, low public debt and maintaining of commitments under the Stand-By Agreement with the International Monetary Fund.
Analysts of Japan Credit Rating believe that the gross domestic product of Romania will register an increase of 1-2 percent in the years 2013 and 2014, based on the positive expectations related to the evolution ofexports after the European economic recovery, as well as based on increases in domestic demand and investments of from EU funds.
At the same time, Japan Credit Rating analysts consider that the deficit target of 2.4 percent of GDP for 2013 can be achieved, as long as public spending is maintained under control.
The stable outlook for Romania reflects the expectations of analysts from Japan Credit Rating related to the continuation of reforms and consolidation of public financing on medium term in our country, as well as the expectations of financial stability in the commitment made with the foreign banks, with branches in Romania, to maintain exposures and the precautionary Stand-Bye Agreement with foreign partners.