The upgrade of Thailand's credit rating reflects the government's clearer stance of keeping the public debt target by reducing money spent on either the rice subsidy programme or government official welfare, says Fitch Ratings.
The credit rating agency increased the country's rating to BBB+ from BBB last Wednesday. The revision means its views on Thailand's credit worthiness are on par with the BBB+ of Standard & Poor's, which opted to stay put from an upgrade in February; and Moody's Baa1.
Andrew Colquhon, head of sovereigns for Asia and Pacific, said Fitch was more confident than it was 20 months ago when the Yingluck Shinawatra government took office that fiscal spending on the rice pledging scheme, state-enterprise liabilities and overall public debt could be contained.
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