International Credit Agency, Moody’s Investors Service, yesterday (Tues) affirmed Jamaica’s credit ratings at B-2, with a stable outlook.
Moody’s said the rating affirmation at B-2 reflects Jamaica’s strong commitment to fiscal consolidation which will support declining government debt after a temporary increase.
It noted however, that low growth, limited diversification and the small size of the economy, constrain Jamaica’s economic and credit prospects.
Moody’s said that the pace of economic recovery will remain tied to that of tourism, and the economy will remain vulnerable to weather-related shocks.
Prime Minister Andrew Holness responded to the stable rating while speaking at the contract signing ceremony for the Montego Bay Perimeter Road Project, this morning (Wed).
Moody’s expectation for Jamaica’s return to pre-pandemic fiscal trends of large primary surpluses and declining government debt ratios rests on the authorities’ continued adherence to medium-term debt targets.