Fitch Ratings Meets in Aruba to Assess Sovereign Rating
ORANJESTAD – As part of Aruba’s annual sovereign credit rating evaluation, the Minister of Finance, Economic Affairs and Primary Sector, Mr. Geoffrey Wever, met with representatives of Fitch Ratings, one of the three major international credit rating agencies.
Credit rating agencies are independent organizations that assess a country’s (or company’s) ability to meet its financial obligations. They evaluate financial risk, economic stability, and fiscal policy.
A credit rating directly affects access to financing and the cost of borrowing. The lower the rating, the higher the perceived risk, which translates into higher interest rates and, consequently, higher borrowing costs for the country. A sovereign rating is also highly important for investors seeking opportunities in the private sector. Therefore, maintaining an open and constructive dialogue with Fitch Ratings is fundamental for Aruba.
Currently, Aruba holds a BBB- rating with a positive outlook from Fitch. A rating in this category classifies Aruba as investment grade, reflecting confidence in the country’s public financial management and economic stability. A strong and stable relationship within the Kingdom is also an important factor for rating agencies and is regularly considered in their evaluations.
During the assessment, Fitch Ratings representatives met not only with Minister Wever but also with several key institutions, including the Department of Finance, the Central Bank of Aruba, CAFT, APFA, ABA, VNO, and ATA, to obtain a comprehensive overview of Aruba’s economic and financial position.
Minister Wever emphasized the importance of continuous dialogue between the government, stakeholders, and rating agencies. He expressed his appreciation to the representatives of Fitch Ratings for the professional and constructive exchange, as well as to all stakeholders who contributed valuable information and perspectives on this crucial matter concerning Aruba’s public finances.