Moody's Cuts Malaysia Credit-Rating Outlook on Weaker Finances
- Malaysia escaped Fitch credit rating downgrade in June
- Government cut subsidies, implemented new tax to boost revenue
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Moody’s Investors Service lowered its credit-rating outlook for Malaysia, citing an external environment that has crimped government revenue despite Prime Minister Najib Razak’s efforts to improve the country’s finances.
The ratings company cut the outlook on the A3 sovereign rating to stable from positive, it said on Monday in a statement. The move brings its outlook into line with that of Standard & Poor’s and Fitch Ratings, with all three companies ranking Malaysia at their fourth-lowest investment grades.