RAEX-Europe confirms Armenia credit rating at BB-

PanArmenian.Net
13 Jan 2021, 17:37 GMT+10

PanARMENIAN.Net - RAEX-Europe has confirmed the sovereign government credit rating (SGC) of Armenia at 'BB-' (Sufficient level of creditworthiness of the government) in national currency and at 'BB-' (Sufficient level of creditworthiness of the government) in foreign currency.

The rating outlook changed from stable to negative, which means that in the mid-term perspective there is a high probability of downgrading the rating score.

'However, we anticipate the Central Bank of Armenia (CBA) to continue to maintain an adequate expansionary monetary policy. In addition, the inflation rate remains low and has risen only slightly closer to the end of the year whereas the banking system demonstrates a stable stance,' the agency said.

'The contraction of the Armenian economy due to the Covid-19 pandemic is higher than expected. As of 3Q 2020, the real GDP plummeted by 6,6% y-o-y and we estimate the overall contraction of the economy to have been around 7,3% by the end of 2020.'

Taking into account both the pandemic and the recent war in Nagorno-Karabakh, the agency expects the real GDP output to turn positive not earlier than by the end of 2021 (in the range between 0,5% and 1,5%) and start approaching its pre-crisis level not earlier than in 2022.

The World Banks said earlier that Armenia's economy will contract by 8% in 2020 and bounce back and grow by 3.1% and 4.5% in 2021 and 2022, respectively.

Watch latest videos

News RELEASES

Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Vietnam Tribune.

More Information

null in null

Southeast Asia

Section

Trump signals progress on India Trade, criticizes Japan stance

WASHINGTON, D.C.: President Donald Trump says the United States could soon reach a trade deal with India. He believes this deal would...

UN Demands End to Myanmar Violence as Junta’s Election Plans Risk Further Instability

Nearly three months after a devastating earthquake struck Myanmar, the country remains trapped in a deepening crisis, compounded by...

UAE highlights potential of deeper trade, investment collaboration between BRICS nations

Rio de Janeiro [Brazil] July 6 (ANI/WAM): The United Arab Emirates, represented by Thani bin Ahmed Al Zeyoudi, Minister of Foreign...

Daily World Briefing, July 6

Chinese FM urges China, France to uphold multilateralism, rules of free trade China and France should champion multilateralism and...

"Big crowd, lot of expectations, he has handled it very well...": Indian bowling coach on Gill's masterclass

Birmingham [UK], July 6 (ANI): Indian bowling coach Morne Morkel hailed skipper Shubman Gill after a record-breaking outing at Birmingham,...

"Thought I could throw better...": Neeraj after winning the inaugural NC Classic

Bengaluru (Karnataka) [India], July 5 (ANI): Following his win at the inaugural NC Classic at Bengaluru, India's world champion and...

International

Section