The international credit rating agency Fitch Ratings announced, this Friday, the lowering of the issuer's default rating for long term in foreign currency from Gabon, which changes from “CCC” to “CCC-”. This decision is motivated by the widening of budget deficits and by the Gabonese government's increasingly limited access to regional markets of debt.

In a statement, Fitch explains that “the needs of significantly higher local currency financing and increased tensions on financing conditions in local currency explain the difference between IDR notes in local and foreign currencies”. The agency thus highlights a financial environment that has become more restrictive for the State, both in terms of internal as well as external.

According to Fitch, the appetite of investors for debt The Gabonese public weakened sharply in the second half of the year. This evolution takes place in a context marked by a gradual decline. of oil production, the country's main source of income, as well as through the implementation of ambitious public investment programs. To that In addition, there are increased debt risks, which weigh on the outlook economic in the medium term.

These concerns echo the Bank's recent analyses. global, which had already warned that, despite the ongoing political transition and A certain reform momentum, the fiscal situation in Gabon remains fragile and exposed to macroeconomic shocks.

Fitch also expects a substantial increase in public debt, which is expected to reach 80.4 per cent of gross domestic product (GDP) in 2025, a direct consequence of a significant fiscal expansion. This trajectory reinforces concerns about the sustainability of debt and the country's ability to meet its financial commitments.

In the same move, the agency also lowered the rating Long-term IDR in local currency, changing it from “CCC” to “CC”, thus confirming the overall deterioration of Gabon's credit profile in a an increasingly constrained economic and financial environment.