S & P Has Indicated The Current Political Situation Would Not Yet Effect Its Rating On Thailand

S & P has indicated the current political situation would not yet effect its rating on Thailand

The S & P rating institute has indicated that the present political situation in Thailand would have no effect on the country's credibility rating.

Standard and Poor rating institute stated that the dissolution of Parliament and the new election scheduled for April 2nd would have no effect on Thailand's rating at present. The country's baht currency presently possesses an “A” rating.

However, S & P is concerned about a possible slowdown of policy and economic reforms due to the political uncertainty. It noted the country's better financial conditions as positive factor to credibility but it was concerned that the pursuit of financial integrity could become stagnant due to political factors.

It also noted that Thailand's rating may face pressure should non-performing assets in the banking system increase.

Source: Thai National News Bureau Public Relations Department - 28 Febuary 2006