National Finance Company – National Rating Outlook Revised to Negative Following Sovereign Rating Action
Content is restricted
Summary
Ref: OM03020PNC00-01 3 June 2020
Nat ional Finance Company – National Rating Outlook Revised to Negative Following Sovereign Rating Action
Capital Intelligence Ratings (CI Ratings or CI) today announced that it has revised the Outlook on National Finance Company’s National Rating (Oman Scale) to Negative from Stable. The change follows the recent lowering of Oman’s international sovereign rating to ‘BB+’/ Negative from ‘BBB-’/Negative . The Company’s Long- and Short-Term National Ratings have been affirmed at ‘ omA-’ and ‘omA2’, respectively.
The change in Oman’s s overeign r ating s reflects CI’s expectation that Oman’s public and external debt will continue to increase markedly over the forecast horizon due to large deficits in the government budget and the current account. While the government has introduced some fiscal consolidation measures, these are unlikely to be sufficient…