Standard and Poor’s (S&P) Global Ratings has maintained Egypt’s sovereign credit rating at B-, and raised the country’s outlook to positive from stable, according to a recent report.
The ratings agency said that it has revised the outlook for Egypt to positive on rising reserves and strengthening economic growth.
The report noted that positive outlook reflects potential upgrade over next year if Egypt continues to implement reforms to support investment and economic growth.
Central Bank of Egypt’s (CBE) foreign exchange reserves have continued to rise, while economic growth is strengthening, with S&P expecting political stability in Egypt to continue under president Abdelfattah El-Sisi.
S&P does not foresee significant policy changes in the run-up to the presidential elections next year.
However, the long-term rating still reflects wide fiscal and external deficits, high public debt, and low-income levels.