Fitch Ratings has given a BBB rating to Indonesia's proposed US dollar sovereign global certificates, or sukuk, according to a Monday release.
The rating is in line with Indonesia's issuer default rating, reflecting the government's ultimate responsibility for the sukuk's repayment based on several aspects of the sukuk structure and documentation.
Factors that could lead to a downgrade include a notable rise in Indonesia's public debt or a drop in foreign exchange reserves, while improvements in the government revenue ratio or a decline in external vulnerabilities could trigger an upgrade, Fitch said.
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