A Palace official said on Sunday that Filipinos who avail of car loans can expect to pay lower monthly installments after international credit rating firm Standard and Poor’s raised the Philippines’ credit rating to investment grade recently.
In a press briefing aired over government run radio station dzRB Radyo ng Bayan, Deputy Presidential Spokesperson Abigail Valte said better interest rates on car loans are just part of the myriad of benefits the country and the Filipinos can expect from the credit upgrade.
“At least, for those who avail of the car loans, you would know that you would be able to get a better rate on the interests on the loans that you take out because of the credit rating upgrades po natin. And that’s just one of those things that you can—that the ordinary Filipino can feel,” Valte said.
In a statement, S&P said it increased the country’s rating from BB+ to BBB-, the minimum investment grade, on account of the country’s improving macroeconomic fundamentals.
It said that the upgrade on the Philippines was due to its “strengthening external profile, moderating inflation, and the government’s declining reliance on foreign currency debt.”
Valte said the credit upgrade will most definitely improve the investment climate in the country as it “encourages and it inspires more confident foreign investors to come and to see the country.”
“…and it gives them more confidence at least to invest and put their money here and we all know that would create more jobs,” Valte said.
The upgrade in the country’s credit rating came after S&P raised its growth forecast for the Philippines for this year from 5.9 to 6.5 percent. (PNP)
