Fitch has issued another downgrade to Ethiopia’s credit rating, putting it squarely in junk territory with a ‘Restricted Default’ or RD status. The credit rating agency has issued what it calls a “Long Term Issuer Default Rating” after the Ethiopian government failed to pay the first coupon on its outstanding USD one billion Eurobond due in full by December next year. The USD 33 million coupon payment was due December 11, 2023, with a two-week graceperiod. The Eurobond was secured in 2014 and used to fund the construction of industrial parks,including the flagship Hawassa Industrial Park. - Advertisement -The default rating is the latest in a series of four consecutive credit downgrades issued by Fitch Ratings since December 2022.

Source: Ethiopian News December 28, 2023 07:44 UTC