Govt mulls to upgrade Nepal’s credit rating from existing ‘BB minus’
Summary
The Nepalese government is preparing to upgrade its sovereign credit rating from ‘BB minus’ by showcasing recent improvements in macroeconomic indicators like export growth, foreign reserves, and inflation reduction.
Key Points
- Nepal currently holds a sovereign credit rating of ‘BB minus’ from Fitch Ratings assigned in November last year.
- The government is preparing to upgrade this rating based on improved macroeconomic indicators over the past year.
- Key improvements include an 81.8% growth in export earnings, over Rs 2.6 trillion in foreign currency reserves, and a decreased annual inflation rate of 4.06%.
- Finance Minister Bishnu Prasad Paudel emphasized showcasing economic progress, policy improvements, and political stability to Fitch for reassessment.
