After reversing nearly a decade of credit rating decline, the country achieved investment grade from all three major credit rating agencies for the first time in Philippine history in 2013. This allows the government and the private sector to borrow at cheaper rates, lowering debt service and generating savings that can be channeled to investments by the government and the private sector.
On 08 May 2014, the country received another credit rating upgrade from Standard & Poor’s, which affirmed the continued improvement of the macroeconomic environment and increased attractiveness of the country as an investment destination. This prompted JP Morgan to note that the Philippines has been the most upgraded sovereign credit in the region in recent years. S&P expressed optimism that gains in fiscal management, and the enhanced investment environment will be sustained even after this Administration. The Philippines is one of four ASEAN Member States (along with Singapore, Malaysia, and Thailand) rated investment grade by all three major credit rating agencies.
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