Phl to seek credit rating upgrade

NEW YORK (via PLDT) – The economic team of President Aquino is arranging a meeting with officials of credit rating agencies here and may have to stay behind after the end of his official visit to make a new pitch for the country’s improving fiscal situation.

“I think it’s to make the case that our fiscal management right now probably deserves a second look as far as (credit) ratings are concerned,” Secretary Ricky Carandang of the Presidential Communications Strategic Planning and Development Office told Manila-based reporters after Aquino was conferred an honorary degree at Fordham University Monday.

He said the Philippine economic team, led by Finance Secretary Cesar Purisima and Bangko Sentral ng Pilipinas Governor Amando Tetangco, sought a meeting with credit rating firms due to “concerns about the sustainability of our spending programs.”

“I think it’s going to be a very dynamic meeting, meaning they will be asking questions, we will be asking questions. Perhaps we’ll explain a little bit more our plans for sustaining the spending programs that we have,” Carandang said.

He said the team would likely seek clarification from credit rating firms why other countries with bigger debts get higher ratings than the Philippines.

The Philippines has received ratings upgrade from Standard & Poor’s, Moody’s Investors Service, Fitch Ratings and Japan Credit Rating Agency.

Philippines Ambassador to the US Jose Cuisia said the improved ratings indicated “an upsurge in terms of confidence in the Philippine economy because of the very substantial increases in terms of foreign direct investments particularly in 2011.” 

“We’re seeing more interest that has been expressed by businessmen not only from the US but from Europe, Australia and even in Asia. So, I think the President will have an opportunity to talk, to explain to the businessmen what he intends to in terms of his vision for a Philippines that is open under new management,” he said. 

“They can expect a level playing field, they can expect clearer rules that, you know, the business firms are looking for,” he said.