Fitch affirms Aruba

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

The outlook is stable.

Aruba's ratings are supported by its relatively high per-capita income, its market-friendly institutional environment and its continued political and social stability, the agency said. The rating also considers that Aruba is part of the Kingdom of the Netherlands (AAA).

The ratings also reflect structural weaknesses in its public finances, including a high level of budget rigidity and continued reliance on arrears to suppliers and the broader public sector as a source of financing, its relatively high public debt burden and its relatively low international liquidity in the context of its narrow economy, Fitch said.

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