Fitch Upgrades Uzbekistan’s Credit Rating to ‘BB’ with Stable Outlook

Fitch Ratings has upgraded Uzbekistan’s long-term foreign currency sovereign credit rating from ‘BB-’ to ‘BB’, assigning a stable outlook, the agency stated in its latest report.

Fitch attributes the upgrade to accelerated reforms and strong economic growth prospects.

«The rating continues to reflect Uzbekistan’s low government debt, substantial external and fiscal buffers, and strong potential growth, balanced by relatively low GDP per capita,» the agency noted.

In 2023, Uzbekistan’s consolidated budget deficit reached 3% of GDP, performing better than the government’s earlier estimate of 4%. Fitch projects the deficit will remain at 3% in both 2025 and 2026.

The agency also welcomed progress on state-owned enterprise reform, aimed at increasing operational independence and improving governance.

Fitch expects Uzbekistan’s economy to grow by 6.3% in both the current and following year.

Earlier, Kursiv Uzbekistan reported that Moody’s had also upgraded its outlook on Uzbekistan’s credit rating.