Moody's raises Brazil outlook to stableStaff Writer | April 10, 2018
Credit rating agency Moody's raised the outlook of Brazil's sovereign rating from negative to stable.
Brazil The Brazilian fiscal deficit should gradually decline
"In short, Moody's believes that the downside risks to growth and uncertainty regarding the reform momentum that led to the assignment of the negative outlook to the Ba2 rating in May of last year have receded," Moody's said.
"Moody's expects the incoming administration to resume efforts to approve further reforms that will be needed, in particular to social security, to comply with the constitutionally-mandated spending ceiling," the statement said.
According to Moody's forecasts, the Brazilian fiscal deficit should gradually decline from 7.8 percent of Gross Domestic Product (GDP) in 2017 to 7 percent of GDP in 2018 and 2019 respectively ■