March 13, 2019 |
Moody's has upgraded the Panama Canal Authority, or ACP, to A1 from A2 with a stable outlook, citing the "strong performance" of the canal after it completed expansion works in 2016.
The upgrade applies to $450m in 20-year notes that the ACP issued at 5.09% in September 2015, Moody's said in a report.
From 2007 to 2016, tonnage crossing the canal recorded a compound annual growth rate (CAGR) of 1%. After the expansion, however, tonnage increased by 22% year-on-year in the fiscal year for 2017.
ACP's A1 rating now stands a step above Panama's sovereign ceiling and three notches above the government