ABU DHABI 10 December 2020: Moody’s has assigned UAE an Aa2 rating in creditworthiness – which is the highest sovereign rating in the region – with a stable outlook for the national economy.
The international rating agency indicated that the UAE’s rating is supported by the country’s credit strength and the high per capita GDP, and the country’s internal stability and strong and broad international relations.
The agency also mentioned that the UAE has demonstrated strong institutional effectiveness by spearheading reforms and diversifying its revenue base, said official news agency Wam.
As for the outlook for the national economy, the agency indicated that it was supported by the stable outlook on the sovereign rating, as well as the upside potential from continuing diversification efforts. That, in addition to its compliance to emergency commitments associated with government and geopolitical tensions.
Fitch has recently set the UAE sovereign rating at (AA-), with a stable outlook. This rating is among 18 indicators that reflect the creditworthiness of federal government institutions and their ability to formulate necessary policies for sustained growth.
H.H. Sheikh Hamdan bin Rashid Al Maktoum, Deputy Ruler of Dubai and Minister of Finance, confirmed that this new classification reflects the strength and resilience of the country’s economy and its ability to overcome various challenges – especially in light of the exceptional circumstances that the world is witnessing due to the Covid-19 pandemic.
H.H. affirmed the success and effectiveness of the proactive policies and measures taken by the federal government to deal with the effects of the pandemic, to continue achieving economic targets and pushing forward comprehensive and sustainable development, making the UAE a model to be followed globally.
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