The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Capital Markets

Uruguay wants return of investment-grade rating

Finance minister claims country deserves status; Ratings agencies say Uruguay vulnerable to external shocks

Fernando Lorenzo, Uruguay’s economy minister

"Uruguay is being rated in a way that does not respond to the reality of the economic framework and the quality of our policies"

Fernando Lorenzo, Uruguay

Fernando Lorenzo, Uruguay’s economy minister, has accused the rating agencies of failing to recognize the increasing strength of his country’s economy and therefore denying it investment-grade status. Speaking exclusively to Euromoney he expressed his frustration at what he sees as the agencies’ overly cautious rating increases. Moody’s rates Uruguay one notch below investment grade, and Standard & Poor’s and Fitch both have the sovereign two notches below. "Uruguay is being rated in a way that does not respond to the reality of the economic framework and the quality of our policies," says Lorenzo, pointing out that CDS spreads are comparable to investment-grade Latin American countries. "Clearly there is a difference between how the rating agencies view the country and how the market is viewing us today," he says.

Steady recovery

Uruguay lost its investment-grade rating in 2002 after the financial crisis in Argentina spilled over into its neighbour.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree