LISBON, Oct. 12 (Xinhua) -- The rating agency Moody's upgraded Portugal's sovereign debt ratings to Baa3 in investment grade on Friday with a stable outlook, removing the country from the "junk" level.
In the assessment released on Friday, the Moody's recognizes Portugal's fiscal consolidation effort, the sustainability of public debt and solid prospects for Portuguese economic growth, classifying Portuguese debt as "investment."
Meanwhile, Dominion Bond Rating Service (DBRS), a Canadian rating agency, has also confirmed the rating of the Portuguese public debt in investment grade, keeping the outlook stable.
For the first time since July 2011, the major credit rating agencies attributed the degree of "investment" to the Portuguese debt thanks to the agencies' recognition of structural changes in Portugal's economy and responsible management of public accounts, the Finance Ministry said in a statement.
Positive assessment by financial rating agencies helps to broaden and diversify the investor base and reduce the financing costs of households, firms and the State, it said.
The Portuguese government will pursue the strategy it has set, through a balanced budget for 2019, with the aim of strengthening the resilience of Portuguese public accounts and the Portuguese economy in future years, enhancing the confidence of Portuguese and investors, the statement said.
This is the way to ensure sustainable, inclusive growth and create quality employment in Portugal, the statement concluded. Enditem