00:00The government is hailing a major endorsement of its economic policies after international ratings agency Moody's upgraded Trinidad and Tobago's
00:08outlook from negative to stable.
00:11The agency affirmed the country's BA2 credit rating and pointed to improving external prospects, strong financial buffers and proactive debt
00:20management measures undertaken by the government.
00:22Among the factors cited was the administration's January international bond issuance, which allowed for the partial redemption of a US
00:31$1 billion bond due in August 2026.
00:35According to Moody's, the move significantly improved the country's debt maturity profile and reduced external financing risks.
00:42The rating agency also noted that T&T continues to maintain substantial financial reserves, including resources held in the Heritage
00:51and Stabilization Fund, with cash and equivalent reserves estimated at approximately 32% of gross domestic product.
00:59The announcement comes on the heels of the International Monetary Fund's 2026 Article 4 consultation, which similarly concluded that the
01:08country's debt remains sustainable over the medium term and that Trinidad and Tobago retains full access to international capital markets.
01:16The IMF also commended governments' reforms to the national insurance system, describing them as courageous and noting that they extended
01:25the sustainability of the fund by an additional 12 years.
01:30Moody further welcomed Trinidad and Tobago's removal from the European Union's list of non-cooperative tax jurisdictions, another development government
01:38says strengthens the country's international reputation.
01:42Finance Minister Divindranath Tanku described the upgrade as a significant milestone.
01:47He said, quote,
01:48This is a defining moment for our country when two of the world's most respected institutions independently affirm the direction
01:56we have set.
01:57It sends a powerful signal to our citizens, investors and partners that Trinidad and Tobago is firmly back on a
02:05path of stability and renewed confidence, end quote.
02:08The minister said the government remains committed to fiscal consolidation, institutional reform and economic diversification.
02:16Tanku said, quote,
02:17We will not relent. Our government remains fully committed to deepening fiscal consolidation, modernizing our institutions and building a stronger,
02:26more diversified economy for the benefit of all, end quote.
02:30Government says the Moody's decision reflects deliberate efforts over the past year to restore fiscal discipline, strengthen revenue administration and
02:39reduce vulnerabilities while protecting the most vulnerable in society.
02:44The administration believes the combined endorsements from Moody's and the IMF send a strong signal to international investors that Trinidad
02:52and Tobago's economic outlook is improving.
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