The Fitch gave Vietnam positive ratings
Ha Noi, June 14 (VNA) -- The international rating agency, Fitch Ratings, on Wednesday assigned foreign and local currency long-term debt ratings of "BB-"(BB minus) and "BB", respectively, to Viet Nam. The outlook of these ratings was positive.
The agency also assigned short-term foreign currency rating of "B" to the country, it said in its June 12 statement.
Fitch Ratings is the second international rating agency to assign positive ratings to Viet Nam.
Earlier, Standard & Poor's announced on May 28 it awarded Viet Nam a foreign currency long-term debt rating of BB minus and local currency long-term debt rating of BB, equivalent to the Fitch ratings.
The Fitch and Standard & Poor's ratings recognised significant momentum in the country's economic reform programme as it proceeds along the transition path from a centrally planned to a more market-oriented economy, the Viet Nam Ministry of Finance said in a press release issued today, June 14.
"Among such strides made by Viet Nam in the past few years, trade liberalisation has proceeded at a rapid pace," Fitch said, noting Viet Nam's macroeconomic progress in recent years and modest external debt levels in light of a challenging economic restructuring process.
"This has been cemented by the recent U.S-Viet Nam Bilateral Trade Agreement and the country's other commitments setting in train sizeable tariff and quota reductions and further opening of the economy to foreign invesment," the Fitch said.
"In addition, measures to encourage private sector activities, including the Enterprise Law, have paid dividents in terms of growth and job creation," Fitch stressed, quoting 34,000 new business registrations in the last two years with investment capital accounting for 6 percent of GDP.--Enditem
