(Reuters) – Moody's rating (NYSE 🙂 on Friday has raised the long -term sovereign credit rating of the foreign currency of Argentina to “CAA3” from “CA”, noting the strong shift in the government's policy that helped face economic challenges and foreign financial stability.
Argentina achieved a record trade surplus of $ 18.9 billion in 2024, according to the official data issued on Monday, which coincided largely with the first full year of liberal President Javier Miley in his position, reflecting the impact of his economic policies.
The Miley Administration inherited the escalating inflation, the exhausted international reserves, and the extensive economic imbalances that led to a very high possibility of a credit event, according to Moody's Agency.
He added: “A decisive financial amendment has been applied, as well as measures to stop cash financing, and have proven effective in addressing the imbalances.”
The financial markets in Argentina were prosperous due to the strict Miley policies of the “zero deficit”, and to calm inflation and the government's commitment to fulfill its debts.
Moody's raised the credit rating of Argentina for the first time in five years, after the classification was reduced in 2020, when the debt restructuring talks in the global epidemic increased the risk of the country's slippage to the failure to pay.
The future view of Argentina was also modified to “positive” from “stable” on Friday, as the government continues to make progress in its program to achieve macroeconomic stability.
