Moody's upgrades Pakistan's rating to B3 from Caa1

WEB DESK -- Moody’s Ratings (Moody’s) on Monday upgraded the Government of Pakistan’s local and foreign currency issuer and senior unsecured debt ratings to B3 from Caa1.

Last year in August, Moody’s upgraded Pakistan’s ratings to Caa1 from Caa2.

“We have also upgraded the rating for the senior unsecured MTN programme to (P)B3 from (P)Caa1. Concurrently, we maintained the outlook for the Government of Pakistan at stable,” the credit rating agency said.

Moody’s said the upgrade to B3 reflects its expectations that improvements in governance will allow the government to sustain the recent improvements in the country’s external position and strengthen fiscal metrics.