Côte d'Ivoire relies on the monetary and financial market of WAMU for resource mobilization. In this regard, the local currency rating allows for the assessment of the issuer's ability to meet its payment obligations in its own currency, namely the FCFA. Thus, in recent years, local currency ratings for Côte d'Ivoire have seen significant progress.
In its 2022 publication, Bloomfield Investment maintained Côte d'Ivoire's local currency rating at "A" for the long term, while it kept the short-term rating at "A2"; the outlook associated with these two ratings is stable.
This long-term rating of "A," which corresponds to a low risk of default, is motivated by the fact that the country has several levers to meet its financial commitments in local currency. These are four (04) essential factors: 1) a resilient economy; 2) satisfactory budget execution; 3) the successful implementation of the national development plan 2016-2020; 4) the reduction of exposure to exchange rate risk through a hedging mechanism.
In the short term, Côte d'Ivoire has certainty of timely repayment.
Bloomfield Investment Corporation Long-term Rating Scale
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INVESTMENT GRADE RATINGS |
SPECULATIVE GRADE RATINGS |
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|
AAA |
Extremely low risk |
BB + |
Very low risk |
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|
AA+ |
Very low risk |
BB |
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|
AA |
BB- |
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|
AA- |
B+ |
Low risk |
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|
A+ |
Low risk |
B |
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|
A |
B- |
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|
A- |
CCC |
Moderate risk |
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|
BBB+ |
Moderate risk |
CC |
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|
BBB |
C |
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|
BBB- |
D |
Default confirmed |
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Source : Bloomfield Investment Corporation
