Pakistan continues to make headway in restoring economic stability: Fitch

Global credit rating agency Fitch on Friday acknowledged Pakistan’s progress when it came to making headway regarding economic stability. In a note, the agency said, “Pakistan has continued to make headway restoring economic stability and rebuilding external buffers.” Last year, the agency had upgraded Pakistan’s long-term foreign-currency issuer default rating (IDR) to CCC+ from CCC on the back of the country’s deal with the International Monetary Fund (IMF). According to Fitch, a CCC rating is a speculative or junk grade indicating the issuer has a high risk of defaulting on its debt obligations. The agency acknowledged that the country’s economic progress on structural reforms “will be key to upcoming IMF programme reviews and continued financing from other multilateral and bilateral lenders”.