Standard & Poor's International Credit Rating Agency revised its outlook for Egypt to positive from stable. It also affirmed Egypt's long-term and short-term sovereign credit ratings in foreign and local currencies at "B-/B". The positive expectations reflect the possibility of achieving further improvement in Egypt's external situation and alleviating the shortage of foreign currencies.
According to Standard & Poor's, floating the pound will help drive GDP growth and, over time, support the government's plan to adjust public finances. The agency indicated that the chances of raising Egypt's rating depend on the improvement of the net public financial situation or external debt faster than current expectations, through an acceleration in the pace of debt reduction or foreign direct investment supported by the planned sale of state assets.
Source (Al-Arabiya.net website, edited)
