Fitch Ratings has given Finland a high credit rating despite the turmoil in eurozone. The rating agency has affirmed Finland's long-term foreign and local currency credit rating AAA with the stable outlook. The rating agency has also affirmed Finland's Country Ceiling at 'AAA' and Short-term foreign currency rating at 'F1+'.
According to Reuters news agency, the stable outlook reflects Fitch's assessment that Finland's 'AAA' status remains robust to the eurozone crisis despite the additional government debt incurred by Finland's contribution to eurozone rescue funds and 'bail-out' programmes in 2011.
The rating agency believes that the banking sector in Finland is sound and has limited exposures to troubled eurozone economies limiting the macro-financial risks arising from the crisis. Nonetheless, a dramatic worsening of the eurozone crisis could have a severe adverse impact on Finland's small and open economy and potentially bring downward pressure on the rating.
According to Reuters, Finland's ratings are underpinned by sound macroeconomic and public finance management, a high value-added economy and positive net international investment position. The Finland's credit profile benefits from exceptionally strong governance and political and social stability, which is also reflected in its impeccable debt service record.
Fitch gives Finland AAA credit rating with stable outlook