US agency assigns Tanzania higher credit rating than Kenya

A worker emerges from a mine in Arusha. FILE PHOTO | NMG 

By CONSTANT MUNDA

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Summary

• The US firm has assigned Tanzania a first-time debt issuer rating of B1, a notch higher than Kenya’s B2 after downgrading the latter’s on February 13 because of mounting concerns over a faster pace of new debt accumulation amid sluggish revenue.
• Unlike Kenya’s stable outlook thanks to her diversified economy, Moody’s has assigned Tanzania a negative outlook due to unpredictable policy environment, which may hit investments.

Global rating agency Moody’s has ranked Tanzania higher than Kenya in credit worthiness.

The US firm has assigned Tanzania a first-time debt issuer rating of B1, a notch higher than Kenya’s B2 after downgrading the latter’s on February 13 because of mounting concerns over a faster pace of new debt accumulation amid sluggish revenue.

Unlike Kenya’s stable outlook thanks to her diversified economy, Moody’s has assigned Tanzania a negative outlook due to unpredictable policy environment, which may hit investment