Fitch Ratings credit rating agency reaffirmed Seguro Social de Salud del Peru's (EsSalud) BBB+ rating for the second consecutive year, which is attributable to the entity’s good administrative, financial and budgetary management.
EsSalud Financial Management General Manager Martin Sanabria said this is one of the highest ratings of any run-state entity in Peru; moreover, it is an achievement of great significance considering the global economic slowdown.
As in 2014, Fitch has affirmed EsSalud’s long-term local currency issuer default rating (IDR) at 'BBB+' and long-term foreign currency IDR at 'BBB' with outlook stable, after reviewing its annual financial and operating information.
This turns EsSalud into a good credit rating holder, underpinned by adequate financial indicators and expenditure control, as well as high level of budget execution, higher than 99%.
EsSalud official said the rating will attract investors for the following hospital infrastructure projects under the rubric of public-private partnerships, which aim to enhance healthcare supply and improve quality of service for millions of insured Peruvians.
EsSalud rating is stable, so Fitch doesn't expect a change in the short term.
The rating agency believes that a rise in the country’s rating, an increase in EsSalud’s incomes, and a downward pressure on operating expenses could trigger positive rating action.
(END) CNA/RMB/MVB
Published: 2/5/2016