Other rating agency Moody’s also said Saudi Arabia’s plans would provide a boost amid volatile oil prices and the global shift towards sustainable energy sources. Moody’s changed its outlook for the Kingdom to “positive” from “stable”, and confirmed its rating at A1.
Oil prices have been volatile amid Western sanctions against Russia, supply scarcity and, more recently, financial concerns that have gripped the market in the wake of turmoil in the US banking sector..
S&P said the kingdom’s reform plans come in addition to its “longstanding position as the world’s leading oil exporter, with spare capacity that gives it the ability to quickly adjust production when market conditions change in the current environment of reasonably high global energy prices.”“.
The agency, which had previously given a rating, predicted A-/A-2 For Saudi Arabia, a slow increase in the kingdom’s oil production until 2026.
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