S&P affirms Chihuahua

Standard & Poor's said it affirmed its A+(mx) national-scale rating on the State of Chihuahua, United Mexican States.

The outlook remains stable.

S&P said that the rating is supported by the state's sound economic base, reflected in its gross state product growth rate and GSP per capita level, which are both above the Mexican national average, as well as its higher-than-average level of budgetary autonomy, both in the collection of revenue and the delivery of services.

Factors offsetting these credit strengths include weak liquidity, although the state has access to short-term credit lines to ease liquidity pressures and the growing burden posed by the state's pension obligations, which, although currently manageable, require structural reform to reach full funding status over the long term, the agency added.

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