Fitch affirms PH at 'BBB-', says outlook is stable

Posted at 03/25/2014 5:44 PM

MANILA, Philippines – Debt rating company Fitch affirmed its investment grade rating and stable outlook for the Philippines citing strong growth momentum.

Fitch said the risk of an "overheating" economy that could lead to either inflation or asset price bubbles remains limited.

Fitch said the country has a stable banking sector where capitalization is high, and funding and money supply are healthy.

Fitch also cited the steady inflow of remittances from overseas Filipino workers, a strong business process outsourcing industry, and low interest rates.

Fitch was the first of the big three ratings companies that upgraded the Philippines from junk to investment grade status last year.

This year, it expects the Philippine economy to grow 6.5%. -- ANC