Moody’s Investors Service, the bond credit rating business of Moody’s Corporation, announced it has assigned a senior unsecured rating to the $10 billion three tranche bond issued by the Government of Abu Dhabi at Aa2, with a stable outlook.
This rating comes in line with the Aa2 long-term issuer rating of the Government of Abu Dhabi, according to a press release.
The rating was underpinned by Abu Dhabi’s “Very High (-)” economic strength resulted from an outstanding increase in growth domestic product (GDP) per capita, high hydrocarbon reserves, and superior infrastructure, reflecting the “High (+)” institutional strength, Moody’s highlighted.
“Abu Dhabi’s exceptionally strong balance sheet supports the “Very High (+)” fiscal strength score with assets worth an estimated 233% of GDP,” the US-based agency said.
It is worth noting that the agency initiated the rating on the bonds without being requested by the Government of Abu Dhabi.
In March, Moody’s Investors Service said it had affirmed its Aa2 rating to Abu Dhabi’s long-term issuer and senior unsecured ratings, with a stable outlook.
The agency also confirmed the emirate’s short-term issuer rating at “P-1”, and the long-term and short-term MTN programme ratings at (P) “Aa2” and (P) “P-1”, respectively.