Fitch has restored Jamaica to a triple-C rating on its local currency debt, one week after the settlement of the National Debt Exchange.

The foreign exchange debt now has a C rating, up from D.

Fitch had placed Jamaica in selective default, saying the domestic debt swap had affected the original contractual terms under which the old bonds were issued. The sovereign rating remained at 'B-' and unsecured debt at "CCC'.

Jamaica aims to reduce its debt to GDP ratio to 95 per cent over the next seven years from the current 140 per cent. The NDX reduces coupon rates and extends the maturity profile of more than 20 bonds, but did not include a haircut.

The US$860 billion offer was taken up by 99 per cent of bondholders.

business@gleanerjm.com