Fitch upgrades VN’s sovereign ratings

09:29 | 04/11/2014

VGP – Fitch Ratings on November 3 upgraded Viet Nam’slong-term foreign and local currency issuer default ratings (IDRs) by one notch from “B+” to “BB-”.

Fitch said in a report on Monday that the upgrade reflects Viet Nam’s improved macroeconomic stability; maintained GDP growth rate of around 5.6% in three years; inflation rate of 3.2% (as of late October, 2014); and higher rates of savings and investment than other countries.

According to Fitch, the balance of payment was improved. The macroeconomic stability altered the balance of payment from a 3.7% deficit in 2010 to a projected surplus of around 4.1% in 2014.

The stable outlook is expected as a positive factor for the restructuring process of SOEs and the banking system in Viet Nam as well as foreign debt payment./.

By Kim Anh