ArmInfo.International rating agency Moody's has confirmed Armenia's rating Ba3, with the outlook changed from "negative" to "stable," Armenia's Ministry of Finance reports.
The revised rating is based on Armenia's improved economic and fiscal outlook and balanced risks as compared with dominant reduction risks when the previous rating was endorsed for Armenia last March.
Armenia's economic and fiscal indicators dramatically improved last year due to capital and labor force inflow, which is expected to continue this year as well.
Referring to the 12.6% GDP growth recorded last year, Moody's forecasts steady economic growth in Armenia in the coming few years - 7% in 2023 and 5%-6% in 2024.
In addition, the agency forecasts that the debt burden will be at a lower level than in the pre-pandemic period, stabilizing at 45% in the coming years, thereby contributing to strengthening fiscal stability.
However, describing the economic and fiscal situation in the country, the representatives of the rating agency also pointed to geopolitical risks that balance the existing improvements.
