S&P affirms Mozambique

Standard & Poor's said it affirmed the B+/B long- and short-term foreign- and local-currency sovereign credit ratings on the Republic of Mozambique.

The outlook is stable.

The transfer and convertibility assessment remains at B+.

The ratings are constrained by the country's very low level of development, its history of social unrest in the face of rising prices on staples and reliance on donor support, S&P said.

Mozambique's economic growth, fiscal revenues and balance of payments rely heavily on aid and foreign investment inflows, the agency said.

The country's GDP per capita, which was $510 in 2011, remains one of the lowest among all rated sovereigns, S&P said.

The ratings are supported by improving economic management, favorable growth prospects, a rapidly growing mining sector and strong donor support, the agency added.

© 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.