Moody’s upgradation affirms govt’s success in economic stabilization: Finance advisor

• Upgradation of Pakistan's outlook to 'stable' is affirmation of govt's success in stabilising country’s economy, says Dr Abdul Hafeez Sheikh.
• Moody changed on Monday Pakistan's outlook to stable from negative.

Advisor to Prime Minister on Finance and Revenue Dr Abdul Hafeez Sheikh said that the Moody’s upgradation of Pakistan’s outlook to B3 ‘Stable’ from ‘Negative’ signifies government's success in stabilizing the economy.

“Moody’s upgrades Pakistan’s outlook to B3 ‘Stable’ from ‘Negative’. The upgradation of outlook to Stable is affirmation of Government's success in stabilising the country’s economy and laying a firm foundation for robust long term growth,” stated Sheikh in a tweet.

Moody’s upgrades Pakistan’s outlook to B3 ‘Stable’ from ‘Negative’. The upgradation of outlook to Stable is affirmation of Government's success in stabilising the country’s economy and laying a firm foundation for robust long term growth.

— Dr. Abdul Hafeez Shaikh (@a_hafeezshaikh) 2 December 2019

The economist further said that the government efforts are producing positive results as highlighted by rising exports and investment, declining current account deficit, and improved fiscal prospects.

Rising exports & investment, declining current account deficit, improved fiscal prospects through better tax & non tax collection, market rally, EOBD ranking going up; indicates that Govt reforms are producing positive outcomes to provide relief to public.#PTIStabilisesEconomy pic.twitter.com/HZ552DA9aF

— Dr. Abdul Hafeez Shaikh (@a_hafeezshaikh) 2 December 2019

Moody's Investors Service affirmed on Monday Government of Pakistan's local and foreign currency long-term issuer and senior unsecured debt ratings at B3 and changed the outlook to stable from negative.

Giving the rationale, Moody said, “The change in outlook to stable is driven by Moody's expectations that the balance of payments dynamics will continue to improve, supported by policy adjustments and currency flexibility.