29 July 2008
Standard & Poor’s affirms Belarus’ ‘B+’ sovereign credit rating with stable outlook

Standard & Poor's Ratings Services has affirmed Belarus' 'B+' foreign currency, 'BB' local currency long-term and 'B' short-term sovereign credit rating with a stable outlook, BelaPAN reports.

The international credit rating agency says that the ratings reflect unusually large contingent liabilities for the sovereign, due to the state-dominated nature of the economy, while external liquidity is weaker than that of its peers.

Standard & Poor's notes that the country’s centralized political system reduces the predictability of policy choices.

At the same time, the agency points to comparatively high wealth and development levels, low general government debt, relatively strong external balance sheet and significant economic potential.

A sharp rise in energy prices so far has not led to as much severe consequences for the Belarusian economy as expected and a rise in non-energy exports and considerable investment growth have helped sustained high economic growth, according to Standard & Poor's.