The change in outlook is due to the stabilization of the country's public debt, a gradual fiscal consolidation, a reduction in downside risks, and greater political stability, Fitch said in a statement on Friday.
Romania's 'BBB-' rating is underpinned by EU membership and EU capital flows that support income convergence, and external and macro-stability.
These are balanced against larger twin budget and current account deficits than peers, a weak record of fiscal consolidation, high budget rigidities, and a fairly high net external debtor position, Fitch added.
Fitch's stable outlook reflects relatively resilient external finances – stable FDI, high EU fund flows, and ample market access, with international reserves rising EUR 10.1 billion over the past 12 months to EUR 57.7 bln in February 2 023, it said.
Producing journalism that is worthy of the name is a costly business. For over 30 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
