S&P affirms Gabon

Standard & Poor's said it affirmed its BB-/B long- and short-term local and foreign currency sovereign credit ratings on the Gabonese Republic. The outlook is stable.

According S&P, an English court order froze the sovereign's funds on a paying agent account following a legal dispute between Gabon and a supplier company. The paying agent was to use the funds for a $32 million coupon payment on Gabon's $1 billion Eurobond.

After a settlement between Gabon and the plaintiff, the funds were unfrozen and the paying agent made the $32 million coupon payment, which was originally due June 12, on the Eurobond on June 21.

S&P said it understands that Gabon had transferred the funds to the paying agent in full and on time. The agency said it consider that the delayed coupon payment to be unrelated to Gabon's ability and willingness to make that payment.

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