Moody’s has given Ukraine’s foreign currency bond ceiling a Ba3 rating, in line with the government’s bond rating of B1 and positive economic performance. Moody’s also notes positively debt and liquidity ratios helped by growing industrial production.
Bulgaria’s long-term foreign and local currency ratings reached a Baa3 rating, moving from stable to positive, according to Moody’s. Ratings for the A1 FX bond ceiling, Baa3 FX and Baa1 local currency deposit ceiling was also raised to positive. But the local currency bond ceiling Aa3 rating was unchanged. Public debt has fallen to 24% from 66% in 2001.
The Head of the Association of Banks in Lebanon (ABL) has rejected any plans to buy/exchange treasury bills or Eurobonds below market rates. Lebanese banks have high-risk exposure having most of the country’s sovereign T-bills and Eurobonds. This statement is a blow to the government’s attempts to reduce the budget deficit.
According to The Business Standard, the Reserve Bank of India (RBI) will pay interest on the cash reserve ratio (CRR) maintained by banks. This is a U-turn from the June 2006 amendment to the RBI Act, which removed the CRR requirement. RBI will pay 1% from 17th February.
According to the news agency Xinhua, Philippines’ central bank will raise the limit of overbought/oversold dollar positions to 20% of their unimpaired capital or up to $50 million. This relaxing of foreign exchange restrictions is designed to provide the corporate sector with further capital.
- Information provided by Euromoney group sources.