Fitch Upgrades Saudi Arabia to 'AA'; Outlook Stable | Reuters

Fitch Upgrades Saudi Arabia to 'AA'; Outlook Stable | Reuters:



"Link to Fitch Ratings' Report: Saudi Arabia - Rating Action ReportLONDON, March 07 (Fitch) Fitch Ratings has upgraded Saudi Arabia's Long-term foreign and local currency Issuer Default Ratings (IDR) to 'AA' from 'AA-'. The Outlooks are Stable. The Country Ceiling has been upgraded to 'AA+' from 'AA' and the Short-term foreign currency IDR has been affirmed at 'F1+'. KEY RATING DRIVERS The upgrade of Saudi Arabia's IDRs reflects the following key rating drivers and their relative weights: Medium The strong sovereign and external balance sheets have been bolstered. The net creditor position is the strongest of all Fitch-rated sovereigns bar Macao, with government deposits in the banking sector rising to 58.7% of GDP at end-2013 compared with general government debt of just 0.6% of GDP. Net external assets climbed to over 100% of GDP at end-2013, well in excess of the peer median and the position of Kuwait and Abu Dhabi (both AA/Stable). Saudi Arabia does not have sovereign external debt. "



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