Fitch affirms Romania’s BBB- rating with stable outlook, predicts public debt will peak in 2015, then fall

Fitch affirms Romania’s BBB- rating with stable outlook, predicts public debt will peak in 2015, then fall

 

Ratings agency Fitch has confirmed Romania’s BBB- rating with a stable outlook. The Fitch London branch yesterday (April 18 ) “affirmed Romania’s Long-term foreign currency Issuer Default Rating (IDR) at BBB-, and its long-term local currency IDR at BBB,” with a stable outlook on both ratings. At the same time, Fitch affirmed Romania’s short-term rating of ‘F3′ and Country Ceiling of BBB+.

In determining the ratings, Fitch found positive factors in the progress Romania has made on fiscal consolidation and the gradual settling down of the political scene after last year’s turmoil between parliament and president. On the down side for Romania are the low growth forecasts for 2013, the seemingly perennial threat of eurozone problems affecting the local economy and what Fitch terms “structural shortcomings.”