Malacanang hails S&P's upgrade on Philippines credit rating

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Friday, May 9, 2014

MALACANANG on Friday expressed hope that the Philippines' latest upgrade from a credit ratings agency will further boost investments and job creation in the country.

Presidential Communications Operations Office Secretary Herminio Coloma Jr. said the government is gratified by Standard and Poor's (S&P) decision to raise the Philippines' credit rating to a notch higher than investment grade.

"We are hopeful that this will eventually translate into increased investments and accelerated jobs generation," he said in a press briefing.

Last Thursday, S&P said the Philippine country's long-term sovereign credit rating was upgraded to "BBB" with a stable outlook from "BBB-."

This was the fourth upgrade that S&P has given to the Philippines since President Benigno Aquino III assumed post in 2010 and the highest rating ever given to the country in history.

S&P cited the country's strong external liquidity and international investment position coupled with an effective monetary policy framework that has sustained low inflation and interest rate as supportive to the rating upgrade.

The credit rating agency expressed optimism that the gains in revenue generation, spending efficiency and improvements in public debt profile and the investment environment will be sustained under the next administration.

"The Aquino administration is committed to strengthen public institutions, and build increased capacity among citizens and communities, and thereby promote the attainment of inclusive growth. This is the path that leads to sustained economic development and the raising of the Filipino people’s quality of life," Coloma said. (SDR/Sunnex)

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