ADVERTISEMENT

Moodyʼs upgrades Croatiaʼs credit rating

Ratings

Photo by Daniel J. Macy / Shutterstock.com

Moodyʼs Investors Service revised Croatiaʼs sovereign credit rating to ʼBa1ʼ from ʼBa2ʼ and changed the outlook to stable from positive, citing enhanced institutional capacity and policymaking as the country enters a critical phase of euro area accession and reduced exposure to foreign-currency debt risk.

Photo by Daniel J. Macy / Shutterstock.com

In July, amid the coronavirus disruption, Croatia was admitted into the EUʼs Exchange Rate Mechanism II (ERM II), one of the final steps prior to becoming a member of the euro area, thanks to its comprehensive reform program.

"Moodyʼs believes that Croatiaʼs policy effectiveness has strengthened over the recent years. The government and the central bank have provided a more predictable and stable framework for economic activity in a very uncertain environment. The policy response to mitigate the impact of the coronavirus pandemic has been timely and efficient," the credit agency said in a report.

Moodyʼs said it expects Croatia to continue to pursue sound economic and financial policies, as entering the euro area will require both sustainable economic convergence and readiness to participate in the banking union. Standard & Poorʼs credit rating for Croatia stands at ʼBBB- with stable outlook. Fitchʼs credit rating for Croatia was last reported at BBB- with stable outlook. 

ADVERTISEMENT

MKIK: Local business tax should be maintained Analysis

MKIK: Local business tax should be maintained

Parl't votes to phase out savings coops integration framewor... Parliament

Parl't votes to phase out savings coops integration framewor...

Roche Szolgáltató appoints P&C business partner lead Appointments

Roche Szolgáltató appoints P&C business partner lead

Capital sees urban exodus during pandemic City

Capital sees urban exodus during pandemic

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.