The international rating agency Standard and Poor’s has affirmed Egypt's sovereign ratings at "B-/B."
The agency announced on Friday in an official statement that Egypt’s long- and short-term foreign and local currency sovereign credit ratings outlook are stable.
The agency clarified that he improvement in political stability and security situation, as well as the slight recovery of GDP and the financial reforms help boost the country’s economic growth.
S&P also noted that the rating still faces restrictions due to the high levels of deficit, government debt, need to borrowing and the continued GDP growth at a low level.
Moody's rating for Egypt sovereign debt is B2, while Fitch's credit rating for Egypt is B+.
In general, a credit rating is used by sovereign wealth funds, pension funds and other investors to gauge the credit worthiness of Egypt, and thus having a big impact on the country's borrowing costs.
The Egyptian government hopes to have positive reports from credit rating agencies before the Egypt Economic Summit in Sharm el-Sheikh, a conference to boost investment in an economy battered by years of political turmoil and a lack of investor confidence.
