Reported 5 months ago
The article discusses how emerging market credit ratings are showing signs of improvement after a decade-long decline. Economists note that sovereign credit ratings influence borrowing costs, and data from rating agencies like S&P, Moody's, and Fitch indicate a majority of rating moves this year have been positive. Factors contributing to this turnaround include economic recovery from COVID, energy price spikes, and improved policymaking. While the current wave of upgrades is seen as a positive shift, it may not fully offset the downgrades of the past decade. Despite challenges like high fiscal deficits and debt payments, emerging markets are working to improve ratings to lower borrowing costs.
Source: YAHOO