Global ratings agency Fitch on Tuesday upgraded Pakistan’s foreign currency credit rating to ‘B-’ from ‘CCC ’, citing increased confidence in the country’s progress on narrowing its budget deficits.

The upgrade also reflects confidence that the country would implement structural reforms, supporting its International Monetary Fund (IMF) programme performance and funding availability, Fitch said.

The agency said though ongoing global trade tensions could create external pressure, its low dependence on exports and market financing should mitigate risks.

Prime Minister Shehbaz Sharif welcomed the upgrade, calling it a reflection of economic progress and the world community’s confidence in the national economy, the Associated Press of Pakistan reported.

He said the upgradation of Pakistan’s credit rating was highly encouraging.

“Fitch has declared Pakistan’s economy as stable. The improvement of economic rating by international institutions reflects economic progress and the global community’s confidence in the country’s economy,” he remarked.

PM Shehbaz said that the incumbent government was working tirelessly to bring further improvement to the national economy.

Welcoming the upgrade by the agency, Finance Minister Muhammad Aurangzeb said that it was a “strong expression of confidence in the country’s economic reforms and policies”.

He said that the agency’s step will further strengthen the government’s economic agenda.

After this announcement, the finance minister said, more investment, trade, increased employment opportunities, industrial development and additional resources will be available to the country.

“The government will continue the journey of economic reforms and economic stability,” he said, adding that the economy will further improve and stabilise in the future.

APP reported that he later said the international rating agency has upgraded Pakistan’s economic rating due to its sustainable macroeconomic stability.

He said the development........

© Dawn Business