Fitch lifts two Indonesia companies to positive

Fitch Ratings said it revised the outlook on two Indonesian public-sector entities to positive from stable.

The entities are PT Sarana Multi Infrastruktur and PT Penjaminan Infrastruktur Indonesia.

The actions follow the recent similar revision of the outlook on Indonesia's sovereign rating, Fitch explained.

The agency said it categorizes Sarana Multi and Penjaminan as credit-linked to their sponsor, the Indonesian sovereign, based on its criteria for rating of public-sector entities.

The rating drivers for their long-term and short-term foreign- and local-currency issuer default ratings are unaffected and their issuer default ratings were affirmed at BBB-, Fitch said.

Any ratings changes to Indonesia will be mirrored in the ratings of the both of these companies, the agency added.

Weakening links with the sponsor or decline of public support as a result of legal status change could also lead to a downgrade, Fitch said.

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