RIGA, Nov. 16 (Xinhua) -- Fitch Ratings has affirmed Latvia's Long-Term Foreign-Currency Issuer Default Rating (IDR) at "A-", but its outlook on Latvia's rating was revised to stable from positive.
Latvia's "A-" rating reflects a credible economic policy framework supported by EU and eurozone membership, lower, albeit rising, government debt levels and debt servicing costs than rating peers, and moderate private sector indebtedness, according to Fitch on Friday.
Commenting on the downgrade of the fiscal forecast for Latvia, Fitch said that it reflected a gradual increase in the government debt to GDP ratio.
Fitch expects Latvia's fiscal deficit to marginally widen to 2.6 percent of GDP in 2024, from 2.4 percent in 2023.
Fitch published its previous assessment of Latvia's credit rating on July 12, affirming the rating at "A-" with a positive outlook. ■
