Fitch upgrades Saudi sovereign rating

Credit rating agency Fitch has upgraded the sovereign credit ratings for the Kingdom of Saudi Arabia, citing strong GDP growth and successful economic reforms.

The kingdom has seen its long and short-term foreign and local currency sovereign credit ratings moved to A/A-1 with a stable outlook.

According to Fitch, the ratings upgrade is a result of significant economic and structural reforms that have supported the non-oil sector.

The maintenance of a balanced public debt level was also referenced by the rating agency.

GDP growth reached 8.7% in 2022, the highest among all the G20 economies, and Fitch expects growth to continue, albeit at a more modest level of 2.3%, for the next four years.

The upgrade from Fitch comes a year after fellow rarting agency Standard & Poor’s similarly revised its outlook on Saudi Arabia from stable to positive on the back of strong GDP growth.

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