Fitch: Kazakhstan outlook negative

Fitch Ratings said it affirmed Kazakhstan's long-term foreign-currency issuer default rating at BBB-, long-term local-currency issuer default rating at BBB, short-term foreign-currency issuer default rating at F3 and the country ceiling at BBB.

All ratings have been removed from Rating Watch negative, and the outlook is negative.

The agency said the risk of significant impairment of the sovereign's finances in the near term arising from the failures of two large banks has receded, while depositor confidence has proved reasonably robust to the bank failures and February's currency devaluation.

However, downward pressures on the ratings in the medium term remain, as Kazakhstan's crisis-affected banks and sharply slowing economy may yet require further sovereign support beyond the substantial amounts already committed, Fitch added.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.