Ratings agency; Standard and Poor’s has affirmed a long-term issuer credit rating and ‘NGBBB+’ for Rivers state with a stable outlook.
The ratings factor in the agencies viewed that the financial management oil rich state’s still remains low by international standards, despite gradual improvements, mainly in information quality and disclosure.
In addition, S and P believe that the state expenditure flexibility is limited because of large development needs that constrain capital investments.
On the positive side, Rivers state boasts a very healthy operating balance, which derives from favourable revenue arrangements from allocating a substantial share of the country’s oil revenues to the state and a moderately low debt burden.
