Moody's current credit rating for Pakistan is Caa2.
Pakistan's Credit Rating by Moody's
As of late August 2024, Moody's Investors Service has assigned Pakistan a credit rating of Caa2. This rating reflects Moody's assessment of the country's creditworthiness and its ability to meet its financial obligations.
Key Update from Moody's
According to a recent announcement from Moody's on August 28, 2024, the rating agency upgraded Pakistan's long-term local and foreign currency issuer and senior unsecured ratings.
- Rating: Upgraded to Caa2
- Outlook: Changed to positive
This upgrade from a previous rating (which was likely lower) and the shift to a positive outlook signal Moody's view of improving credit fundamentals or a reduced risk profile compared to their previous assessment.
Understanding the Caa2 Rating
Moody's credit ratings range from Aaa (highest quality, minimal credit risk) down to C (lowest rated, in default or near default). The Caa category represents obligations that are judged to be of poor standing and are subject to very high credit risk.
- Caa1: Subject to very high credit risk.
- Caa2: Subject to very high credit risk.
- Caa3: Subject to very high credit risk.
A rating of Caa2 is therefore considered deep in speculative grade territory, often referred to as "junk" status, indicating significant risk for investors. However, the positive outlook suggests that Moody's believes there is a chance the rating could be further upgraded in the future if positive trends continue.
Summary Table
| Rating Agency | Rating | Outlook | Date of Assessment |
|---|---|---|---|
| Moody's | Caa2 | Positive | August 28, 2024 |
This information is based directly on the update provided by Moody's as referenced.
