The international rating agency Standard & Poor’s has again awarded the Principality of Liechtenstein its top rating of AAA with a stable outlook. In the evaluation, the rating agency above all emphasized the sound financial situation with regard to public budgets.
Every six months, the credit rating of Liechtenstein is assessed by the international rating agency Standard & Poor’s (S&P). In its latest rating review, S&P confirmed the “existing country rating for Liechtenstein of AAA with a stable outlook”, the Government of the Principality of Liechtenstein writes in a press release. It goes on to say that “the healthy financial situation of the public budgets” was a crucial factor behind maintaining this top rating. In fact, this represents “a stabilizing factor during difficult times”, according to the press release.
In its report, S&P also addressed the measures taken by the government in Liechtenstein to combat the coronavirus pandemic, the press release explains. The rating agency also praised the country’s “broadly differentiated economy” and the fact that it has “access to two economic areas”. In addition, S&P is satisfied that Liechtenstein boasts “the necessary flexibility” to adapt to changes in the international corporate taxation landscape.
The Prime Minister of Liechtenstein, Daniel Risch, is keen to stress that confirmation of the top rating should not be taken for granted “in an environment that continues to present challenges” and in the midst of “ongoing efforts to combat the pandemic”. However, he takes the view that the country’s financial and reserve situation can be regarded as “very solid” despite the implementation of further support measures for the economy and need for additional spending to combat the pandemic.
