Business
Moody’s upgrades Paraguay to investment grade
Moody’s upgrades Paraguay to investment grade.
About this update from Atome Plc
[{"type":"text","content":"\n\n29 July 2024\n \nATOME PLC\n(\"ATOME\", \"the Company\", or \"the Group\")\n \nMoody's upgrades Paraguay to investment grade\n \nSpecific reference to positive impact of green fertiliser\n \n \nATOME (AIM: ATOM), the leading developer of international green fertiliser projects, is pleased to note that Moody's Rating, the international rating agency, has updated Paraguay to investment grade. Moody's specifically highlighted green fertiliser as a positive material contributor to the future economy.\n \nMoody's upgrade\n \nATOME notes that, on 26 July 2024, Moody's, the internationally recognised rating agency, significantly upgraded the Government of Paraguay's long-term issuer and senior unsecured bond ratings to investment grade Baa3 from Ba1, moving it to be on a par with India.\n \nMoody's stated that the upgrade reflected a combination of factors contributing to robust and sustained economic growth, which it expects to continue. Moody's noted a track record of institutional reforms that has improved its assessment of international and governance strength. The Paraguayan economy grew by 4.7% in 2023.\n \nOf particular relevance to the Company, Moody's emphasised the upside potential for growth, including that arising from domestic green fertiliser production. ATOME takes this as a supportive reference to the Company and its flagship projects for Paraguay. The Company's flagship 145MW Villeta Project in Paraguay is expected to be one of the largest renewable fertiliser production facilities in the Western Hemisphere from start of production in 2027.\n \n \nJames Spalding, President of ATOME Paraguay, commented:\n \n\"This most welcome and deserved upgrade to Paraguay's international financial standing further vindicates ATOME's strategic decision to select the country as home to its first flagship projects.\n \n\"The fact that Moody's specifically mentioned green fertiliser production as a driver of Paraguay's future financial growth underlines the importance of our projects to the country.\n \n\"We are proud to be a part of the strong and vibrant economy of Paraguay and look forward to finalising the financing and declaring FID for our first 145MW flagship project in Villeta and commencing construction there by the end of this year\".\n \n ...