Indonesia Minister Says S&P Discussed Upgrading Sovereign Rating

S&P Global Ratings has discussed upgrading Indonesia’s credit rating, Coordinating Minister for Maritime Affairs Luhut Pandjaitan said, five months after the company lifted the nation from junk status.

The rating company contacted the government to say “they wanted to upgrade our rating to BBB, without the minus," Pandjaitan said in a speech at a police academy seminar in Jakarta on Friday. The minister said he expected a move “probably next year.”

S&P declined to say if it would upgrade Indonesia, adding in an email that it “conducts private meetings on an ongoing and routine basis with all rated issuers, including governments” and “we do not comment on these discussions.”

S&P lifted Indonesia to investment grade in May with a stable outlook, citing prospects for better revenue collection and modest fiscal deficits. Both Moody’s Investors Service and Fitch Ratings have a positive outlook on their assessments of the nation’s debt.

Asked about the possibility of a higher rating, Finance Minister Sri Mulyani Indrawati told reporters on Friday the government held regular meetings with rating companies to give them updates on economic policy, such as....

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