22 - July / 2019

Standard & Poor's improves Andorra’s outlook from stable to positive and reaffirms BBB / A-2 rating

Standard & Poor's has improved the outlook for the Principality of Andorra from stable to positive and has reaffirmed the rating at 'BBB / A-2'. In the note published by the agency on Friday, July 19th, the agency acknowledges the continuity of the Government's policies in alignment with international standards.

The rating agency positively evaluates the balanced budgetary management, based on a moderate and comparable tax framework and on a progressive decrease in public debt, and highlights the solid tax framework and the positive economic developments.

It also highlights Andorra's willingness to join the International Monetary Fund, which could lead to an improvement in Andorra's rating, as well as the evolution of negotiations for an Association Agreement with the European Union that would allow access to the internal market.

Once again, Standard & Poor's has insisted on the implementation of the good practices of the financial system carried out by the Principality in relation to money laundering and financing of terrorism.

Text: Govern d'Andorra