Moody's: No upgrade on Hungary's rating

Ratings

Moody's Investors Service said on Friday it has not upgraded its long-term public debt rating on Hungary, leaving it at Ba1 with a stable outlook, Hungarian news agency MTI reported on Saturday.

A number of analysts expected at least an improvement of the outlook to positive on recent Hungarian economic data. Credit rating upgrades are overdue for Hungary, said Morgan Stanley in a note earlier on Friday. But moves on Hungary are not expected before summer because the rating agencies want to see the total data breakdown of last year's public debt trajectory, and the winding-up of the process to eliminate forex household debts from the system, experts warned at the end of last year after the publication of the rating agencies' 2015 review schedule.

Moody's said its filing was part of its EU Sovereign Rating calendar activity scheduled for Friday to provide additional clarity on EU sovereign rating activity. The filing was provided as a service to the markets and did not constitute a formal rating action publication, the agency said.

According to published schedules, further reviews this year are expected from Moody's on July 10 and November 6.

Standard & Poor's will review Hungary's rating on March 20 and September 18.

Fitch Ratings is to follow suite on May 22 and November 20.

The schedule does not mean that ratings or outlooks will necessarily be modified, the agencies said earlier.

Presently Hungary's long-term public debt rating is the lowest at S&P with BB, two notches under investment grade.

Moody's Ba1 and Fitch Ratings BB plus are both one notch down from investment grade.

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