Moody’s place Egypt on review for downgrade

Moody's Rating Agency (Moody’s) placed Egypt's B3 long term foreign-currency and local-currency issuer ratings on review for downgrade. Before this rating action, Egypt's ratings were B3 and the outlook was stable.

“The review period will focus on the government's ability to finalize the targeted $2 billion in asset sales necessary to meet the IMF program's financing targets for fiscal 2023 (ending June) and demonstrate the viability of the program's external funding strategy that relies significantly on asset sales,” the statement issued by Moody’s read.

The rating agency is also placing the review on the (P) B3 senior unsecured MTN program rating of the Egyptian Financial Corporation for Sovereign Taskeek, Sukuk Company, and its B3 senior unsecured rating.