Manila: Malaca±ang has clarified that the recent decision by Fitch Ratings to adjust the Philippines' credit outlook from 'stable' to 'negative' does not equate to a downgrade in the country's credit rating. The government emphasized that the Philippines remains on firm economic grounds.

According to Philippines News Agency, Palace Press Officer Claire Castro relayed that the Department of Finance (DOF) has clarified the implications of a negative outlook. Castro explained that this revision should be interpreted as a cautionary signal rather than an immediate change in the credit status. The DOF has underscored that Fitch's outlook change does not directly alter the nation's credit position and highlighted the Philippine government's strategic response to external challenges.

Castro pointed out that Fitch acknowledged the government's proactive measures in addressing global issues, such as the recent energy shock. She cited the DOF's statement, which emphasized the administration's decisive actions and policy measures, including expanded economic tools and fuel-saving strategies, as evidence of 'agile and responsible economic management' that has helped sustain market confidence.

The Palace Press Officer stated that these developments indicate the Philippines continues to enjoy strong investor confidence and resilient access to global capital markets. She highlighted the ongoing demand for Philippine government securities and a diversified investor base as clear indicators of investor trust in the nation's long-term economic trajectory.

Fitch Ratings recently revised the Philippines' outlook from stable to negative, attributing the change to rising risks from disruptions in public investment, compounded by the global energy crisis. However, Fitch affirmed the country's 'BBB' investment-grade rating, suggesting moderate creditworthiness with some economic risks.