Fitch, Moody's offer positive assessment of 2027 budget proposal: gov't
Global credit appraisers have offered positive assessments of Korea's 2027 budget proposal, the government said Wednesday, stressing overseas institutions have recognized Seoul's efforts to improve fiscal health and pursue long-term growth. Korea's finance and budget ministries released a joint analysis of recent reports by Fitch Ratings and Moody's Corp., as Asia's No. 4 economy recently…
Credit rating agencies Fitch and Moody's have given a positive assessment of South Korea's proposed 2027 budget, according to the country's government. The assessment highlights Seoul's commitment to improving fiscal health and driving long-term growth.
The analysis, released jointly by South Korea's finance and budget ministries, was based on recent reports from Fitch Ratings and Moody's Corp. The government notes that the 2027 budget proposal is expected to yield stronger fiscal outcomes than initially anticipated. Fitch specifically highlights that Korea is on a more favorable debt trajectory compared to previous projections.
Furthermore, the government report points out that the Future Fund, which will be established next year with revenue generated from a recent semiconductor tax hike, will contribute to reducing volatility in Korea's fiscal revenue. Additionally, South Korea's strategic investments in industries such as artificial intelligence (AI) and semiconductors are expected to bolster the country's growth potential.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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