The Clap Moody’s affirmed Egypt’s credit rating at (B2), but changed the outlook from stable to negative.
The deets Moody’s clarified that Egypt’s strong GDP growth significantly supports the economy and stimulates direct investment. The credit assessor also pointed out the importance of Egypt’s upcoming plan with the IMF & FDI from Gulf countries.
However, the current global economic conditions increase the risks of cash inflows to Egypt. The report “weaker recurrent inflows”.
In related news Contrary to Moody’s expectation, both Fitch and Standard & Poor’s gave a stable outlook for the Egyptian economy.
This marks the first time Egypt has been downgraded by any of the three major credit assessors since 2013.