Islamabad: The global credit rating agency Fitch has upgraded the long-term foreign currency issuer default rating of Pakistan from CCC to CCC+. The upgrading to CCC+ from CCC indicates a considerable improvement against the earlier rating and suggests a positive turn in the economic outlook for Pakistan.

This comes after the agency issued a recent report in which it acknowledged that there had been improvements in the economic conditions of Pakistan, particularly in the context of an IMF program. To some extent, it gives impetus and instills confidence in international financial institutions and donors.

The upgraded rating can only enhance Pakistan’s credibility in the global market, boosting its trust from international lenders and investors. This, in turn, should yield better investment opportunities and improved portfolio performance for the country.

The positive effects of the upgrade have already started pouring in. Pakistan’s stock market gained considerably, with gains crossing the 700-point mark—an indication of a positive reaction from investors and market participants.

All in all, the upgrade comes not only on the back of an improved economic environment but also points to a relatively brighter outlook for financial prospects with regard to Pakistan globally.