Saudi Arabia ’s Sovereign Ratings Affirmed

Ref: SA20CRA00-01 26 June 20 20

Saudi Arabia ’s Sovereign Ratings Affirmed

RATING ACTION

Capital Intelligence Ratings (CI Ratings or CI ) today announced that it has affirmed Saudi Arabia’s Long-Term Foreign Currency Rating (LT FC R ) and Long-Term Local Currency Rating (LT LC R) at ‘A+’. At the same time, t he sovereign’s Short-Term Foreign Currency Rating (ST FC R ) and Short-Term Local Currency Rating (ST LC R) have been affirmed at ‘A1’. The Outlook for the ratings remains Stable.

RATING RATIONALE

The affirmation of the ratings and O utlook reflects CI’s view that while the global spread of Coronavirus ( Covid-19 ) has weaken ed the prognosis for the country’s economy and public and external finances, the sovereign’s credit profile remains adequately supported at the current rating level by large fiscal buffers and, in particular, the economy’s very large net external asset position. The ratings continue to be…