Fitch affirms Cape Verde

Fitch Ratings said it affirmed Cape Verde's long-term foreign-currency issuer default rating at B+ and long-term local-currency issuer default rating at BB-, and its country ceiling at BB- and short-term foreign-currency rating at B.

The outlook on the long-term issuer default ratings is stable.

Cape Verde's B+ rating is supported by well-functioning institutions and good governance, confirmed in recent elections, which have fostered a stable macroeconomic environment and high GDP growth, the agency said.

The rating is constrained by the high and rising levels of public and external debt that reflect recent high budget deficits and a structural current account imbalance, aggravated by a major public investment plan to respond to development needs, the agency noted.

© 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.