Financial Market Brief Apr 22 2016
Rating Agencies maintain the status quo on Bahamas’ Sovereign Debt Rating and Outlook The Bahamas was spared a downgrade by both of the major rating agencies following their routine credit assessments. On April 15, 2016, Standard & Poors (S&P), which downgraded the Bahamas last summer, affirmed the Bahamas’ BBB-/A-3 sovereign credit rating for both foreign and local currency debt. The rating agency cited continued improvements in the government’s fiscal consolidation efforts due mainly to Value Added Tax (VAT) receipts, which exceeded expectations. S&P also asserted that the country’s declining fiscal deficit, supported by healthier external conditions have offset the country’s relatively low growth rate and increasing debt stock. For the year 2015, the government collected a reported $535.62 million in VAT revenues. This boost in revenues has contributed to an increase of $431.47 million in tax revenues over the calendar year 2014. Weekly_Market_Recap_22-Apr-2016 Click here for full Weekly Market Recap

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