Moody’s, global credit rating agency, has upgraded Pakistan’s credit rating as the country’s economy improved.
According to Moody’s, the rating has been raised by one notch from ‘Caa2’ to ‘Caa1’ on Wednesday, with growing confidence in the country’s financial conditions.
The agency also stated that a ‘stable’ outlook has been assigned to the upgraded rating.
The development came after Pakistan showed progress in strengthening its external financial position, meeting the International Monetary Fund (IMF) program conditions.
Earlier, Prime Minister Shehbaz Sharif expressed satisfaction over Pakistan’s exports reaching $2.7 billion in the first month of the new fiscal year, marking a 9% increase from the previous month. He termed the growth “very satisfactory” and said it reflects the positive trajectory of the country’s economy under his government’s policies.
Highlighting recent achievements, the Prime Minister pointed to the Pakistan Stock Exchange’s KSE-100 Index, which recently surged past the 145,000 mark, calling it a historic milestone and a sign of renewed investor confidence. He added that the improvement in Pakistan’s credit ratings by international financial institutions further reflects economic stability and global trust in Pakistan’s fiscal direction.
Shehbaz Sharif emphasized that export-led growth remains the government’s top economic priority. He noted that key reforms, including the faceless customs assessment system, are being implemented to enhance port operations and ease of doing business in the country.
Addressing the nation’s demographic challenges, the Prime Minister highlighted the 2.55% annual population growth rate as a pressing concern. He called for making the growing youth population an active part of the economy, stressing the need for inclusive growth through education, employment, and entrepreneurship.
