*International credit ratings agency Moody’s has upgraded Argentina’s long-term foreign currency and local currency issuer ratings to Caa3 from Ca. The upgrade was attributed to what Moody’s described as the “forceful policy shift” of President Javier Milei’s government, which it said has “enabled fiscal and monetary adjustment that is helping to address economic imbalances and to stabilise external finances, decreasing the likelihood of a credit event”. Moody’s also revised Argentina’s outlook from stable to positive, adding that an orderly transition to a more open capital account could pave the way for higher ratings in the future. However, Moody’s highlighted that “new challenges” may emerge in the next phase of the government’s macroeconomic adjustment period that “could compromise progress made to date, including balance of payments risks to which the authorities will have to respond”.