LONDON, Aug 2 (Reuters) - Standard & Poor's last week raised
Ukraine's long-term sovereign rating to B-plus from B, after the
country secured immediate access to $2 billion in financing from
the International Monetary Fund.
Sovereign credit ratings in eastern and central Europe have
largely begun to improve after foreign debt and banking problems
triggered downgrades during the global financial crisis.
However, Moody's last week lowered the outlook on Iceland's
Baa3 sovereign rating to negative from stable, due to a recent
Supreme Court ruling on the illegality of foreign
exchange-linked loans and failure to resolve the "Icesave"
dispute.
Here is a list of long-term foreign currency ratings and
outlooks for countries in emerging Europe:
COUNTRY S&P MOODY'S FITCH
BELARUS B+ B1 -
Negative -
S&P on May 4 affirmed Belarus' B+ rating, saying that the
country's public finances have weathered the economic downturn
well. But the rating agency has a negative credit outlook on
Belarus because the country's gross external financing needs are
continuing to rise.
BULGARIA BBB Baa3 BBB-
Stable Positive Negative
Moody's said on April 21 that a ratings upgrade for Bulgaria
was still possible in the next 12-18 months despite a larger
than expected 2009 fiscal gap. The ratings agency raised
Bulgaria's outlook to positive from stable on Jan 21, citing the
government's tight monetary policy and relatively low budget
deficit.
CROATIA BBB Baa3 BBB-
Negative Stable Negative
Fitch last May cut Croatia's ratings outlook to negative,
citing the Balkan state's large external debt burden and
vulnerability to external shocks.
CZECH REPUBLIC A A1 A+
Stable Stable Positive
Fitch on June 4 raised its credit outlook on the Czech
Republic to positive from stable, while affirming its A+ rating.
The agency said there was a strong likelihood that recent
elections would lead to a formation of a coalition government
with a strong mandate for a faster pace of budget deficit
reduction than expected.
ESTONIA A A1 A
Stable Stable Stable
Fitch on July 19 raised its credit rating on Estonia to A,
following European Union approval on July 13 for entry to the
euro area in 2011. It said that euro membership would reduce
foreign exchange risk.
GEORGIA B -- B+
Stable Stable
S&P affirmed Georgia's ratings at B on Sept. 28 2009 with a
stable outlook, saying that the economic impact from the
country's brief but intense war has been offset by substantial
international aid.
HUNGARY BBB- Baa1 BBB
Negative Negative Negative
Moody's on July 23 put Hungary on review for a possible
downgrade, citing increased fiscal risks following the
suspension of its talks with the IMF and the EU on its $25
billion loan deal [].
S&P said on the same day that it had revised its outlook for
the country to negative from stable.
ICELAND BBB- Baa3 BB+
CW negative Negative Negative
Moody's cut Iceland's outlook to negative from stable on
July 29, due to a recent Supreme Court ruling on the illegality
of foreign exchange-linked loans and failure to resolve the
dispute with Britain and the Netherlands over deposits frozen
when Icesave bank collapsed in 2008. []
KAZAKHSTAN BBB- Baa2 BBB-
Stable Stable Stable
Fitch on Dec 16 2009 raised Kazakhstan's rating outlook to
stable from negative, citing higher oil prices and capital
inflows.
LATVIA BB Baa3 BB+
Stable Stable Negative
Moody's on March 31 raised its outlook on Latvia's ratings
to stable from negative, saying the country had seen the worst
of the recession.
LITHUANIA BBB Baa1 BBB
Stable Stable Stable
Moody's on March 31 lifted Lithuania's ratings outlook to
stable from negative to reflect a brightening economic picture
and easing financial stress in the Baltic economy.
MACEDONIA BB -- BB+
Stable Stable
S&P raised Macedonia's outlook to stable from negative on
Sept. 21 2009, citing a narrowing current account deficit.
MOLDOVA -- Caa1 B-
Stable Stable
Fitch in April 2009 said Moldova's B- rating could be
threatened if political unrest proved prolonged and damaged the
economy. The ratings agency lowered the country's outlook to
stable from positive on Sept 15 2008.
MONTENEGRO BB Ba2 --
Negative Negative --
S&P on March 31 cut Montenegro's rating to BB from BB+ and
lowered its credit outlook to negative, warning that the country
was at risk from severe economic contraction and worsening bank
loans quality.
POLAND A- A2 A-
Stable Stable Stable
S&P on July 16 affirmed its rating on Poland, saying the
economy continued to stay competitive and become increasingly
diversified. The agency said these ratings were tempered by
Poland's rising levels of government debt.
ROMANIA BB+ Baa3 BB+
Stable Stable Stable
S&P's raised its outlook on Romania to stable from negative
on March 9, citing the government's success so far in
undertaking fiscal consolidation.
Fitch raised Romania's ratings outlook to stable from
negative on Feb 2, citing a narrowing of the country's external
shortfall and a resumption in aid disbursements from the
International Monetary Fund.
RUSSIA BBB Baa1 BBB
Stable Stable Negative
S&P on Dec. 21 2009 revised Russia's credit outlook to
stable from negative, saying its expecting the country's
budgetary and balance sheet performance will gradually improve.
SERBIA BB- -- BB-
Stable -- Negative
S&P raised its outlook for Serbia to stable from negative on
Dec 1 2009, saying external pressures facing the country have
eased.
TURKEY BB Ba2 BB+
Positive Stable Stable
Moody's said on May 28 that it may raise Turkey's Ba2 rating
if parliament approves new rules to limit state spending drafted
by the government.
S&P on Feb. 19 raised Turkey's rating to BB, two notches
below investment grade, praising the country's fiscal
management.
Fitch upgraded Turkey to BB+ from BB- on Dec 3, citing the
country's resilience to the global crisis and the easing of
earlier restraints such as inflation.
UKRAINE B+ B B
Stable Negative Stable
Standard & Poor's raised Ukraine's long-term sovereign
rating to B-plus from B on July 29, after the country secured
immediate access to $2 billion in financing from the
International Monetary Fund.
(Compiled by Sebastian Tong, Carolyn Cohn, Eunice Ng;
Editing by Ruth Pitchford)
