S&PGR Upgrades Turkey to B+ With Positive Outlook

By Stephen Nakrosis

S&P Global Ratings upgraded Turkey to B+ from B, and said the outlook on the country was positive.

S&P said Friday it believes coordination between monetary, fiscal and incomes policy is set to improve following local elections in the country.

S&P also said it expects rising portfolio inflows and narrowing current account deficits over the next two years.

However, progress may be slow and reserve accumulation modest as Turkey's central bank limits depreciation of the lira.

The central bank will likely keep its benchmark one-week repo rate at 50% for the rest of the year, according to S&P.

The agency also said the inflation rate in the county isn't expected to drop to single digits until 2028.

Write to Stephen Nakrosis at [e-mail]

(END) Dow Jones Newswires

05-03-24 1659ET