Moody's Investors Service changed the outlook on Russia's Ba1 government bond rating to stable from negative and affirmed it at speculative Ba1/Not Prime (NP).
One of the reasons for such a decision was the stabilization of Russian external finances, which was the result of macroeconomic management that softened the effect of the drop in crude prices. Besides, the change in the rating was also influenced by the lower probability of Russia’s economy facing intense shock from additional international sanctions in the next 18 months.
Fitch still rates Russia's long-term foreign and local currency IDRs at 'BBB-' with a negative outlook. Analysts suppose that the external situation worsening since July placed oil prices under pressure and caused higher volatility in the ruble.
Standard and Poor's also left the “negative” outlook on Russia’s BB+ grade unchanged. The rating agency believes that a decline in Russian budget reserves may be faster than analysts expect.
