Brasília – This Thursday (17th), risk rating agency Standard & Poor’s upgraded Brazil’s long-term sovereign debt rating from BBB- to BBB. According to the agency, one of the reasons for the upgrade is the fact that the country proved capable of dealing with a deteriorating world economy.
“The government of Dilma Rousseff has shown a growing commitment to its fiscal targets,” informed a statement by Standard & Poor’s, adding that the outlook for Brazil is “stable.”
The long-term foreign currency rating (public debt in Brazilian reais) has also been upgraded by the agency, from BBB+ to A-. The rating awarded by risk rating agencies acts as a certificate-of-sorts when it comes to assessing whether a given country is meeting its financial obligations or not.
*Translated by Gabriel Pomerancblum
