ULAN BATOR, Sept 4 (NNN-APA) – The credit rating agency, Fitch Ratings, affirmed Mongolia’s long-term foreign-currency issuer default rating at “B+” with a stable outlook.
Mongolia’s ratings are supported by strong medium-term growth, modest government debt and high per capita income, relative to “B” category peers, Fitch said.
The agency forecasts that, Mongolia’s gross general government debt will decline to below 40 percent of gross domestic product (GDP), in medium term, from 41.8 percent of GDP, at the end of last year.
However, a substantial share of public debt is denominated in foreign exchange, highlighting exchange-rate risk, the agency said.
Fitch predicted that Mongolia’s real GDP growth will pick up to 5.7 percent this year, driven by an agricultural recovery after two harsh winters.
The country’s GDP grew 5.6 percent in the first half of this year, according to the National Statistics Office.– NNN-APA
