Islamabad: Finance Minister Ishaq Dar said that Global Rating Agency Fitch upgraded Pakistan’s Long Term Foreign Currency rating to CCC from IDR (Issuer Default Rating). “Another positive news towards current economic revival journey, AlhamdoLilah,” he added.

 “Congratulations to Prime Minister Shehbaz Sharif and nation ‘government allies and economic team’, he said.

Fitch Ratings has upgraded Pakistan’s Long-Term Foreign-Currency Issuer Default Rating to ‘CCC’ from ‘CCC-’. Fitch typically does not assign outlooks to sovereigns with rating of ‘CCC+’ or below. “We expect SLA to be approved by IMF board in July, catalysing other funding and anchoring policies around parliamentary elections due by October”, Fitch added.

‘CCC’ rating Liquid net FX reserves of State Bank of Pakistan have hovered around 4 billion since February 2023, or less than month of imports, down from peak of more than 20 billion at end-August 2021. Collapse in reserves reflected large CADs, external debt servicing and earlier FX intervention by central bank, Fitch said.

Published in The Daily National Courier, July, 11 2023

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