Fitch confirms Azerbaijan's rating

Fitch Ratings has affirmed Azerbaijan's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB+' with a Negative Outlook, Report says, citing international rating agency.

"This rating reflects Azerbaijan's dependence on high oil revenues, lack of predictability and determination of the exchange rate regime, strong sovereignty, and fiscal financial flexibility of the assets of the State Oil Fund of Azerbaijan (SOFAZ). The Negative Outlook reflects risks from the coronavirus shock, including near-term uncertainty about the recovery of global oil prices and the potential impact of the second wave of COVID-19 on Azerbaijan's external buffers and lingering risks of a disorderly macroeconomic adjustment," Fitch stated.