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Moody’s improves rating for Pakistani banking sector

Web Desk by Web Desk
January 14, 2021
in News
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Moody’s improves rating for Pakistani banking sector
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The international credit rating agency, Moody’s has improved its rating for Pakistan’s banking sector as stable.

Moody’s Investors Service report said that the government’s credit profile is stable due to the ongoing reforms and increasing policy effectiveness.

It said stable outlook for Pakistan’s banking system reflects banks’ solid funding and liquidity.

The report said deposit-based funding and good liquidity buffers also remain strengthened, while the probability of government support in a crisis is high.

On August 8, 2020, Moody’s had upgraded Pakistan’s outlook from ‘under review for downgrade’ to ‘stable’, while maintaining B 3 rating.

In a tweet, the Ministry of Finance had said it was an affirmation of the government’s sound fiscal and financial policies in these times of unprecedented hardship and uncertainty.

Federal Minister of Industries and Production, Hammad Azhar also termed the development an encouraging sign. “Moody’s confirmation of Pakistan’s B3 rating with stable outlook during pandemic was an encouraging sign,” he had said in a tweet.

Tags: MoodysPakistan banking sectorrating
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