Moody's Affirms Mongolia's B2 Sovereign Rating

Moody's affirms Mongolia's B2 sovereign ratingBishkek (AKIpress) - Moody's Investors Service has today affirmed Mongolia's government bond rating at B2. The outlook on the rating remains negative. Concurrently, Moody's has affirmed the government's B2 issuer rating, its senior unsecured MTN rating at (P)B2 and the short-term Not Prime issuer rating.

The affirmation of the rating signifies Moody's view that Mongolia's credit profile will remain in line with B2 peers over the medium term, with current credit-negative trends dissipating over the coming one to two years. Key credit supports include strong potential growth and abundant mineral resource wealth.

The decision to maintain a negative outlook reflects Moody's view that while some of the credit pressures that drove our assignment of the outlook in July 2014 have diminished, others have emerged. The external environment has worsened, particularly in relation to Mongolia's major commodities...