Home » El Salvador improves its rating in the Fitch Rating – 102nine Periódico Digital de El Salvador territory of young adults

El Salvador improves its rating in the Fitch Rating – 102nine Periódico Digital de El Salvador territory of young adults

by admin

Impacts: 0

Thanks to the payment of bonds at the beginning of the year, El Salvador has achieved the “CCC+” rating on Fitch Rating. The same rating house explained that its expectations have been exceeded by the measures that the Government has taken to meet its debt obligations, which means that the probabilities of default are non-existent.

According to the authorities, the fiscal measures and bond payments have improved the country’s position and a good trend is anticipated.

One of these measures applied is the reduction of the fiscal deficit, taking it up to 2.5% of GDP in 2022, compared to the years 2020 (10.1%) and 2021 (5.5%), which translates into a constant work of solid collection of taxes and a committed reduction of expenses.

Likewise, the repurchase of sovereign bonds stands out, which has also been classified as a resounding success, since a reduction of the outstanding debt from $800 million to $348 million was achieved. Added to this, the Government of El Salvador reached 75.9% in the debt of the non-financial public sector, compared to 88.1% in 2020 and 80.4% in 2021.

According to Fitch, the projections for El Salvador are very good, since a downward trend in public debt/GDP is expected and a continuation of the good course for fiscal consolidation.

The country, under the leadership of President Nayib Bukele, continues to achieve results never seen before in past administrations.

See also  School, here are all the principals coming out of the institutes of Treviso and its province

You may also like

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy