On 6th September 2024, S&P Global Ratings upgraded the Hashemite Kingdom of Jordan's long-term Sovereign credit ratings to BB- with a stable outlook (from B+ stable outlook), reflecting its economic resilience, economic reform accomplishments, and robust external support. This is the second international rating upgrade in 2024 (following Moody’s upgrade to Ba3 in May), despite regional geopolitical tensions over the period.
Cygnum Capital provides credit rating advisory to the Government of Jordan under the Jordan Macroeconomic Advisory Support Program, funded by FCDO, and led by DAI.
Overview:
- Economic activity in Jordan has proven resilient in the face of persistent regional stress.
- Fiscal and economic reform efforts have widened the tax base and structurally improved competitiveness and the business environment.
- Despite an increase in regional tensions, we think external support from donor and multilateral partners would be highly forthcoming in most scenarios.
- We therefore raised our long-term ratings on Jordan to 'BB-' from 'B+' and assigned a stable outlook.
Rating Action
On Sept. 6, 2024, S&P Global Ratings raised its long-term foreign and local currency sovereign credit ratings on Jordan to 'BB-' from 'B+'. The outlook is stable. At the same time, we affirmed our 'B' short-term foreign and local currency ratings on Jordan. We also revised our transfer and convertibility assessment to 'BB+' from 'BB'.
