Moody's assigns provisional Baa2 to Sharjah's GMTN Programme

The rating mirrors the emirate's long-term issuer rating

  
Image used for illustrative purpose. Watefront at the Corniche by Al Mamzar Lake, Sharjah, UAE.

Image used for illustrative purpose. Watefront at the Corniche by Al Mamzar Lake, Sharjah, UAE.

Getty Images

Dubai – Moody's Investors Service has assigned a provisional rating of Baa2 to the Government of Sharjah's Global Medium Term Note (GMTN) Programme.

The Baa2 rating on the emirate’s proposed GMTN programme mirrors the Government of Sharjah's long-term issuer rating (Baa2), with a stable outlook.

“The stable outlook on the issuer rating is supported by Sharjah's relatively diversified economy, low external vulnerability risks and a credible currency peg afforded by membership in the federation of the UAE, ample funding sources, and high-income levels contributing to shock absorption capacity.”

It is also indicating a degree of resiliency at the current rating level despite pressures on creditworthiness globally associated with the coronavirus shock, according to Moody’s.

The report further noted that the stable outlook takes into account the relatively low probability of a significant improvement in fiscal strength.

Source: Mubasher

All Rights Reserved - Mubasher Info © 2005 - 2020 Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.

More From GCC