November 5, 2024

The Catholic Transcript

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Fitch reaffirms UK rating on AA, with a consistent outlook – the economy

Fitch reaffirms UK rating on AA, with a consistent outlook – the economy

Fitch reaffirmed UK rating on AA- this Friday, the 10th, with a consistent outlook. In a statement, credit rating balances a diversified and improved economy, on the one hand, and the growing and growing debt of the public sector, on the other.

“Sterling’s reserve currency level, deep capital markets and strong governance indicators support estimates,” Fitch added.

The company said the reopening of the economy after the siege of the first quarter of 2021, improvements in the vaccination program and government pay and employment support mechanisms supported the UK’s rapid economic recovery. Fitch has boosted its GDP growth to 6.9% for 2021, and expects the economy to grow by 5.0% in 2022.

He warns of short-term risks to growth opportunities centered on the potential impact of the micron variant of the corona virus on the UK and key trading partners. In the medium term, growth is projected to slow to 2.2% in 2023 and 2.0% by the end of the release gap in 2026, Fitch expects.

“We believe Brexit has slowed growth opportunities in the medium term and weighs the recovery in trade volumes and meets current restrictions on the labor market,” the company said, referring to trade with the EU. Before infection.

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