DBM PRESS RELEASE
Department of Budget and Management (DBM) Secretary Amenah F. Pangandaman welcomed the latest Moody's rating of “Baa2” with a stable outlook for the Philippines while expressing determination for an “A” rating.
Stressing that the government will work even harder, the Budget Secretary said, “This is a positive development but this makes us only more determined to get an “A” grade.”
Nevertheless, Pangandaman is confident that the Philippines will soon get its first “A” rating after 10 years of being at “Baa2.”
"I am confident that as long as we stay on track with our Agenda for Prosperity, with our whole-of-government approach, we will achieve an “A” rating with Moody’s under this administration,” the Budget Secretary added, noting that the rating of “Baa2” has been maintained by the country since 2014.
This investment-grade credit rating for the Philippines was maintained because of the country's reforms to liberalize the economy, fiscal consolidation efforts, and robust macroeconomic fundamentals.
According to Moody's report dated August 23, 2024, “The passage of reforms over the past several years to liberalize the Philippine economy will support medium-term growth potential by supporting a business-friendly environment and attracting foreign investments."
A “Baa2” rating means the Philippines has moderate credit risk while an “A” rating means obligations are subject to low credit risk.
Moody’s is among the leading global credit rating agencies, publishing investor-oriented credit research, industry studies, and risk analysis.
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