S&P Affirms Turkey’s Credit Rating with a Stable Outlook

US-based credit rating firm, Standard & Poor's (S&P), has affirmed Turkey's long-term foreign currency sovereign credit rating at B+ and long-term local currency sovereign credit rating at BB-. It also confirmed the country's short-term foreign and local currency sovereign credit ratings at B and the agency said that the Outlook is Stable.

According to S&P, the COVID-19 pandemic is expected to drive the Turkish economy into an economic recession and will widen the fiscal deficit to about 5% of the Gross Domestic Product (GDP). However, S&P expects the net general government debt would be contained to 34% of GDP by the end of 2020, leaving some fiscal flexibility, despite increasing contingent liabilities....