Socialist Republic of Vietnam’s Long-term foreign currency Issuer Default Ratings -IDR was affirmed at ‘BB-’, the Fitch Ratings said Tuesday. The rating agency affirmed long-term local currency IDR at ‘BB’. Further, the rating agency affirmed short-term foreign currency IDR at ‘B’ and the Country Ceiling at ‘BB-’. The outlook on the ratings remained stable.
Associate director of Fitch’s Asia Sovereign Ratings team in Hong Kong, Vincent Ho said, “Vietnam’s rating strengths are based on the country’s net external creditor status and declining gross external debt relative to GDP. Continuous fiscal deficits, rising general government debt relative to GDP and the vulnerable banking system remain the major rating constraints.”