Mexico had its short-term foreign currency rating raised one notch to A-2 from A-3 at Standard & Poor’s as the company cited a change in critera.
S&P affirmed Mexico’s BBB long-term rating, the second-lowest investment grade mark. The outlook is stable, the ratings company said today in a statement.
The move “results from the revision of Standard & Poor’s criteria on the linkage between long-term and short-term ratings for sovereigns,” the company said in the statement. “The change in the short-term foreign currency rating on Mexico does not reflect an improvement in the sovereign’s short-term creditworthiness.”
S&P said Mexico’s net debt is likely to hold at about 35 percent of gross domestic product, while economic growth will average 3.3 percent in the “following several years,” the statement said.