* The international credit ratings agency Standard & Poor’s (S&P) has lowered Bolivia’s long-term foreign and local currency sovereign credit rating from ‘B-’ to ‘CCC+’, with a negative outlook. S&P also lowered Bolivia’s short-term foreign and local currency sovereign credit rating from ‘B’ to ‘C’. In a statement explaining the downgrade, S&P said that
“higher current account deficits, limited liquid foreign exchange reserves, and lack of access to external capital markets have worsened the government's creditworthiness”. S&P said that these issues have been compounded by
“political stalemate, which has impeded the government’s ability to secure timely access to official external funding,” noting that
“political divisions, including within the governing political party, have delayed congressional approval of external borrowing.” It added that
“moreover, lack of transparency on international reserves data increases uncertainty.”End of preview - This article contains approximately 135 words.
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