THE credit rating of Trinidad and Tobago has moved from stable to positive based on premier international rating agency, Moody’s Investors Services.
This news was welcomed by Finance Minister Colm Imbert.
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In a press release on Monday, following the results of the rating, Imbert said, “This improvement in our outlook is a first step in the convergence and harmonization of our international credit ratings.
“It is also clear that our credit rating dynamics and momentum are now positive, which is of significant importance in a world of more elevated interest rates. Better credit ratings will positively influence the cost of funding for the Government and State Enterprises and the economy of Trinidad and Tobago as a whole.”
He said Moody’s acknowledged the positive outcome of the efforts of the country throughout the several different shocks that have taken place over the recent years, such as oil and gas prices shocks and the severe adverse effects of the Covid-19 pandemic.
Moody’s positive outlook for Trinidad and Tobago was based on the fiscal performance of the country, which goes beyond the windfall of last year as a result of the surge in oil and gas prices and flows from positive developments favourably affecting gas production capacity and economic diversification, Imbert said.
He said, “The improvement in the country’s outlook is also an acknowledgement of policy effectiveness, illustrated by the capacity of the Government to implement difficult but necessary long-term reforms in restructuring transfers and subsidies and improving revenue collection.”
