Mubasher: Fitch Ratings has affirmed Qatar’s long-term foreign- and local-currency Issuer Default Ratings (IDRs) at ‘AA’, with a ‘Stable’ outlook.
Fitch said the rating reflects Qatar’s large sovereign assets which can be enough to finance the current budget deficits over the coming 20 years, according to a recent statement.
“Qatar’s hydrocarbon dependence is a key rating weakness, with oil and gas extraction averaging 50% of GDP and 80% of external receipts and government revenue,” the statement said.
Qatar’s financial revenues declined 60% due to falling oil prices, with possibility for deficit to reach 3.4% in 2016, Fitch added.
