EcoMin: Moodyʼs ratings show Hungarian reforms are working

Ratings

An action by ratings agency Moodyʼs to revise the outlook on Hungaryʼs sovereign rating to "positive" from "stable" shows "that Hungarian reforms are working", the National Economy Ministry said on Saturday, according to Hungarian news agency MTI.

Moodyʼs announced the action late Friday, local time, citing the governmentʼs strong commitment to a low budget deficit and the declining share of FX liabilities in state debt as well as the improving economic outlook as reason for the upgrade.

"Ratings agencies are starting to acknowledge Hungaryʼs economic results, after they were acknowledged by international financial institutions and investors," the ministry said.

"Expanding employment, the balanced budget, the years-long decline in state debt, the extraordinarily favorable trade surplus all show that the Hungarian reforms are working," it added.

"Hungaryʼs international assessment has really improved, according to the market, which the ratings agencies should not disregard, not only in their outlooks, but in their ratings," the ministry said.

All three key credit ratings agencies put Hungary below "investment grade", but the outlooks on the ratings by Moodyʼs and Fitch are "positive".

ADVERTISEMENT

Reforms to raise productivity would strengthen recovery - OE... Analysis

Reforms to raise productivity would strengthen recovery - OE...

Meeting called to address Pegasus spyware lacks quorum  Parliament

Meeting called to address Pegasus spyware lacks quorum 

Skanska commercial dev unit names new EVP of operations Hung... Appointments

Skanska commercial dev unit names new EVP of operations Hung...

Zsa Zsa Gabor's ashes buried in Budapest City

Zsa Zsa Gabor's ashes buried in Budapest

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 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.