Fitch Affirms Qatar's Rating at... 'AA'

Reuters – Fitch Ratings removed Qatar from its negative watchlist and maintained its sovereign credit rating at “AA,” citing a decline in risks to liquefied natural gas (LNG) facilities since March.

The agency kept Qatar’s outlook negative, due to ongoing risks stemming from potential disruptions to LNG exports through the Strait of Hormuz.

The rating confirmation comes months after Fitch warned of a potential downgrade to Qatar’s sovereign rating, amid growing concerns over the security and economic fallout of a war with Iran.

In a Reuters poll, Qatar was among the economies that saw the largest downward revisions in forecasts, with GDP expected to contract by 8.1% this year, compared to an earlier projection of a 6% decline in April.

Qatar, one of the world’s largest LNG exporters, is grappling with export disruptions through the Strait of Hormuz.

Standard & Poor’s and Moody’s also affirmed Qatar’s ratings earlier this year, stating that its strong fiscal position mitigates the impact of a US-Israeli war on Iran.