The international rating agency Standard & Poor's (S&P) has confirmed Kazakhstan's sovereign credit rating at BBB-/A-3 with a stable outlook and assessed the growth prospects of the Kazakh economy, Zakon.kz reports.
The main factors influencing the country's credit rating, as cited by foreign analysts, are strong fiscal and external economic balances. Kazakhstan's net government debt is low, and its liquid external assets are sufficient to protect against external risks, as indicated by the Ministry of Economy of Kazakhstan.
"According to analysts, the consolidated budget deficit is expected to decrease to an average of 1.6% of GDP during the period 2023-2026. This will be supported by efforts to reform tax policy and administration, as noted by the Ministry of Economy," they stated.
Furthermore, S&P believes that the government of Kazakhstan is pursuing a macroeconomic policy aimed at diversifying the economy through investment programs, supporting a reduction in government involvement, promoting competition, and improving tax policy.
"S&P forecasts Kazakhstan's economic growth at 4% in the years 2023-2026," as stated in the ministry's announcement.
Earlier, the international rating agency Fitch also confirmed Kazakhstan's sovereign credit rating at BBB with a stable outlook.
CentralasianLIGHT.org
September 5, 2023