Turkey’s score in terms of the global credit rating agencies has seen it fall 15 places to 82nd out of 148 countries, according to a report by a highly respected Turkish Investment Brokerage.
This is according to the latest list released by the firm Alnus Yatirim Arastirma (Alnus Investment and Research), which compiles an annual rankings list of countries scoring them according to the ratings they have from the three big rating agencies – Fitch Ratings, S & P, and Moody’s.
The Turkish daily newspaper Sozcu reported that the report compiled by Alnus Yatirim Arastirma Director Yunus Kaya, shows that both Turkey and Brazil are having a torrid time in terms of credit ratings.
The world’s 9th biggest economy of Brazil is in the 79th place on the list with a score of 13.3 while the 19th biggest economy of Turkey is in 82nd place with a score of 13, which leaves both countries in the third group – those that have poor credit ratings.
Neighboring Georgia, which has the world’s 121st biggest economy is faring better than Turkey when it comes to the credit rating stakes, with a score of 13.3.
The world’s 43rd biggest economy, Bangladesh remains just below Turkey with a score of 13. Serbia, Vietnam, Georgia, Bangladesh, Bolivia, and Dominican all appear to be competing with Turkey in terms of credit agency ratings.
At the end of 2017, Turkey was in the second group – those nations that are doing better than the third group of nations, which often hover on junk status for their credit ratings.
Countries surpassed Turkey in the past year are the Bahamas (15.5), Southern Cyprus (15.3), Oman (15.0), South Africa (15.0), Namibia (15.0), Azerbaijan (14.6), Croatia (14.6), Paraguay (14.6), Guatemala (14.0), Costa Rica ( 13.6), Serbia (13.6), Macedonia (13.5), Brazil (13.3), Georgia (13.3) and Vietnam (13.3).
Turkey achieved a maximum score of 15.7 in 2015.
As investors look to the rule of law and sound economic policies, foreign investors are losing faith in Turkey and matters have been made worse the international watchdog Freedom House no longer sees Turkey as “free” anymore.
International investors plan their investments based on Fitch Ratings, S & P, and Moody’s to guide them in their in investment choices and the lower the rating the bigger the risk, making investors less likely to invest and increase the price of international borrowing.