LONDON, Aug 25 (AFP) - Fitch Ratings said Wednesday it has raised its outlook for its rating on Turkey's long-term debt denominated in foreign currencies and lira because of the country's improving macroeconomic situation.
The international rating agency said in a statement that its B plus rating on Turkey's long-term debt had a positive outlook compared with a previously stable outlook.
The outlook upgrade reflects "combination of improving economic and financial fundamentals, together with clearer prospects over the future of the country's relationship with the IMF", Fitch said.
Turkey, with the aid of the International Monetary Fund, is emerging from a 2002 financial crisis through major economic restructuring.
Momentum was also building regarding Turkey's EU accession bid in the wake of strong political reforms during 2004, it noted.
Fitch said that while Turkey would see major challenges on the fiscal financing front in 2005, the likelihood of securing a new IMF programme was high, "which will support market confidence, provide some insulation from rising global interest rates and should offer some valuable sources of fiscal funding."