Uzbekistan’s sovereign credit rating has been maintained at “BB-”, according to an updated report from the international rating Agency S&P Global Ratings.

The Agency’s specialists underline the country’s success in implementing institutional reforms. The “Doing Business” and “Perception of corruption” indices, as well as Uzbekistan’s indicators in the World Bank’s governance indices, have improved significantly.

In addition, there is a decrease in the level of dollarization in the banking system, which, combined with measures aimed at reducing the segmentation of the credit market, would contribute to the transition of the Central Bank to an inflation targeting regime and increase the effectiveness of monetary policy;

Tax reforms have expanded the tax base and improved tax collection. Fiscal transparency in the country has also increased.

Meanwhile, the outlook for the Republic’s rating has been changed from” stable “to”negative”.

This forecast is due to the negative impact of the coronavirus pandemic on the country’s economy and a significant increase of public external debt over the past 12 months as a result of borrowing to finance investment projects.

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