Higher credit rating due to Philippines’ economic reforms–Palace

Malacañang has hailed the Philippines’ higher credit rating by Standard and Poor’s as proof of the Duterte administration’s effective economic reforms.

In a statement, presidential spokesperson Salvador Panelo also praised President Duterte’s economic team for “putting the economic house in order.”

“The Palace is pleased with the report from … Standard and Poor’s that the Philippines has received a credit rating upgrade of ‘BBB+’ stable outlook, a step closer to bagging a single ‘A’ grade,” Panelo said on Thursday.

“A higher credit rating means a borrower country is a credit-worthy sovereign that can have access to a wider pool of funds. This is the highest credit rating upgrade in the economic history of the Philippines,” he added.

Standard and Poor’s on Tuesday raised sovereign long-term credit rating for the Philippines, citing the country’s “above-average” economic growth, a healthy external position and sustainable public finances.

But the global credit watcher flagged the proposed Tax Reform for Attracting Better and High-quality Opportunities (Trabaho) bill, which seeks to lower corporate income taxes and rationalize fiscal incentives. —JULIE M. AURELIO