Moody's Raises Buenos Aires Debt Rating to B1

Moody's Ratings has elevated the debt rating for the city of Buenos Aires, moving it from B2 to B1. This upgrade follows closely after Moody's improved Argentina's own credit score. The rating agency highlighted the city's robust credit profile relative to its regional peers, attributing the improvement to strong operational and financial results, as well as a minimal dependence on federal funding. Moody's also identified Buenos Aires as the most resilient local and regional government in Argentina, noting its low financing needs and manageable foreign currency debt exposure. The agency anticipates the city will maintain financial metrics consistent with its current credit profile over the medium term, supported by ample liquidity and prudent financial management. In June, Moody's had already raised the city's local and foreign currency issuer ratings to AAA.ar, citing its recent international bond issuances and solid fiscal performance. This latest rating places Buenos Aires two notches above the national government's credit rating. City Mayor Jorge Macri celebrated the news, stating, "After 14 years, we have recovered the B1 rating from Moody's and have the highest sub-sovereign rating in Argentina. There are no magic formulas. Order in the City's accounts and a country with a stable macroeconomy."

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After 14 years, we have recovered the B1 rating from Moody's and have the highest sub-sovereign rating in Argentina. There are no magic formulas. Order in the City's accounts and a country with a stable macroeconomy.