The credit standing company Standard & Poor’s (S&P) upgraded Türkiye’s credit standing from B to B+ and saved its outlook optimistic.
According to a press launch from the company on Friday, Türkiye is predicted to enhance coordination between financial, fiscal, and revenue insurance policies, amid exterior rebalancing.
“We forecast rising portfolio inflows and narrowing current account deficits over the next two years, alongside declining inflation and dollarization, although progress will be slow and reserve accumulation modest as the central bank limits depreciation of the Turkish lira,” the company stated.
It additionally revised up switch and convertibility evaluation to “BB-” from “B+”, saying that the danger of the sovereign stopping private-sector debtors from servicing international currency-denominated debt is abating.
“We could raise the rating further should balance-of-payments outcomes continue to improve, inflation decline, and domestic savings in Turkish lira rise, leading to a rebuilding of the government’s usable foreign currency reserves,” it added.
Source: www.dailysabah.com
