Moody's rates Indonesia notes Baa2

Moody's Investors Service said it assigned Baa2 ratings to the proposed senior unsecured dollar-denominated notes to be issued by the government of Indonesia.

The notes will rank pari passu with all of the Indonesia's current and future senior unsecured external debt.

The proceeds will be used for general budgetary purposes.

The rating mirrors Indonesia's long-term issuer rating of Baa2 with a stable outlook.

The rating is underpinned by policy emphasis on macroeconomic stability that increases its resilience to shocks, Moody's said.

The sovereign's credit profile is supported by narrow fiscal deficits and low government debt ratios, the agency said.

The large size of its economy and healthy and stable growth prospects act as credit supports, Moody's added.

Credit challenges include low revenue mobilization, the agency said, and a reliance on external funding.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.