FITCH Ratings has kept Namibia’s outlook as ‘stable’ and has reaffirmed the country’s long-term foreign currency issuer default rating (IDR) at ‘BBB-’.
The international rating agency last week kept Namibia’s long-term local currency IDR at ‘BBB’ and its short-term foreign currency IDR at ‘F3’. Fitch has also affirmed Namibia’s country ceiling at ‘A’.
Fitch based its rating on Government’s “strong balance sheet”. It said the country’s growth prospects remain strong and that “strong” foreign direct investment is expected to continue, especially in the mining sector.
On the risk front, Fitch said Namibia’s biggest challenge it the “higher than expected slowdown” in its main export partners like South Africa, the UK and the euro area.