Markets News

S&P affirms Turkey's ratings, outlook

Jan 31 (Reuters) - Ratings agency Standard & Poor’s on Friday affirmed its long-term foreign currency sovereign credit rating on Turkey at ‘B+’ and outlook at stable, saying changes in current benign global financing conditions could hurt the country’s growth strategy.

“We also continue to see risks stemming from Turkey’s international relations. Multiple points of contention remain in Turkey’s relations with the U.S.”, the agency added in a statement.

In December, a U.S. Senate committee backed legislation to impose sanctions on Turkey after its offensive in Syria and purchase of a Russian S-400 missile system.

Turkish President Tayyip Erdogan in response said Ankara would retaliate against potential U.S. sanctions over its purchase of Russian defense systems and a natural gas pipeline.

Ratings agency Fitch revised Turkey’s outlook to “stable” from “negative” and affirmed its “BB-” rating in November, citing no impact to credit fundamentals by Ankara’s operation in northeastern Syria.

Reporting by Shivani Singh in Bengaluru