S&P Global Ratings affirmed on May 7, 2019 its ‘BBB’ long-term foreign and local currency sovereign credit ratings on Uruguay. In addition, S&P affirmed the ‘A-2’ short-term foreign and local currency ratings. The outlook on the long-term ratings remains stable.

The stable outlook reflects the view of continuity in key economic policies after national elections later this year. S&P expect that Uruguay will continue to sustain GDP growth, with per capita GDP likely expanding by 1.8% per year during 2019-2021.

S&P ratings on Uruguay are supported by its track record of prudent and predictable economic policies and its well-established institutions, which have underpinned consistent economic growth over the past 16 years.

S&P expect Uruguay’s GDP growth to average 2.1% in 2019-2022, propelled by strong exports and new investments. They expect that the government will be able to reverse a recent decline in real investment and to improve the country’s physical infrastructure. And that Uruguay’s strong checks and balances and low perception of corruption, which sustains investor confidence in the country, continue to support economic policies.