Azerbaijan's credit profile reflects its economic strength - Moody`s

BAKU, Azerbaijan, May 21 By Zeyni Jafarov – Trend: Azerbaijan's credit profile, namely the issuer's rating at Ba2, reflects the country's economic strength, Trend reports referring to the Moody's international rating agency. The rating of Azerbaijan's economic power by credit profile is set at ‘ba3’, which balances the well-being level in the face of the significant impact of changes in hydrocarbon prices on the country's economy. The rating of the country's financial institutions at 'B1' reflects a balanced approach to a gradual increase in the reliability and efficiency of monetary and fiscal policy. The agency said that the financial strength rating of the Azerbaijani government at ‘A1’ is supported by Azerbaijan's strong position as a net creditor, since the size of the assets covers all direct debt and government guarantees. Besides, as the agency noted, Azerbaijan has a high share of foreign currency debt. According to Moody's, real GDP growth in Azerbaijan in 2021 will be 3.5 percent, and it will be supported by the weakening of restrictions related to the COVID-19, as well as an increase in oil and gas production. In the next two- three years, the growth of the Azerbaijani economy will average about three percent. Earlier, Moody`s confirmed the long-term rating of the issuer and the rating of the priority unsecured obligations of Azerbaijan at the ‘Ва2’ level. --- Follow the author on Twitter: @ jafarov_zeyni