Malacañang stated that Fitch Ratings' revision of the Philippines' outlook to negative does not signal an imminent downgrade. The agency affirmed the country's BBB investment-grade credit rating. It cited the government's proactive response to external challenges.
MANILA, Philippines — Fitch Ratings affirmed the Philippines' “BBB” investment-grade credit rating but revised its outlook from “stable” to “negative”.
Malacañang said the move does not indicate an imminent downgrade, as the agency itself noted the government's decisive response to external challenges, particularly the energy shock. “Fitch itself notes that a negative outlook does not mean that a downgrade is imminent,” Presidential Communications Undersecretary Claire Castro said in Filipino at a press briefing.
The Department of Finance highlighted that measures like expanding the policy toolkit and fuel-saving strategies show agile economic management, bolstering market confidence. The Philippines maintains strong access to global capital markets, backed by a diversified investor base and demand for its Republic of the Philippines issuances.
“The economy remains in a good position because growth is strong and banks are in good shape,” Bangko Sentral ng Pilipinas Governor Eli Remolona said. The negative outlook underscores the need to address emerging risks to the country's credit profile.
