Qatar Removed from Fitch’s Negative Watch List as Risks to LNG Sites Ease

Fitch Ratings has removed Qatar from its negative watch list, but the decision offers only limited relief. The agency kept the country’s sovereign rating at AA while maintaining a negative outlook amid the US-Israel war on Iran and the blockade of the Strait of Hormuz.

Fitch said risks to Qatar’s liquefied natural gas facilities had eased since March. It also warned that the impact of the war on Qatar’s credit profile would take longer to assess.

The country, one of the world’s largest gas exporters, continues to face disruptions and shortages after energy facilities were damaged during the war on Iran, which began six months ago. The blockade has also created ongoing risks for the movement of gas exports.

“The impact of the war on the credit profile will take longer to discern,” Fitch said in a statement.

Earlier this year, S&P and Moody’s also affirmed Qatar’s ratings. They pointed to the country’s sizeable financial cushion as protection against the conflict’s economic impact.

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The impact of the war on the credit profile will take longer to discern.