Moody's decided to raise Qatar's credit rating to AA2, and changed its outlook to stable, which reflects the improvement in the financial metrics in Qatar from 2021 to 2023.
Moody's said, in a report, that it upgraded Qatar's long-term debt rating in local and foreign currencies to Aa2 from Aa3.
The company also raised the rating of the medium-term foreign currency securities program in Qatar to P)Aa2 from P)Aa3, while changing the outlook from positive to stable.
The upgrade reflects Moody's view of the significant improvement in Qatar's financial metrics, and this view supports the company's expectations that Qatar will continue to maintain financial prudence.
It is expected, according to the rating agency, that the significant improvement in Qatar’s debt burden and debt sustainability metrics achieved during the period 2021/23 will continue and likely improve in the medium term, at which point Qatar will continue to achieve strong financial surpluses averaging about 4.5% of GDP in the next five years, according to Moody's.