New Fitch ratings to help Indonesia

Fitch Ratings upgraded Indonesia's sovereign rating to one notch below investment grade, giving a vote of confidence that is likely to spur further investments to Southeast Asia's biggest economy.

Indonesia's rating was lifted to BB plus with the rating agency citing rising foreign exchange reserves, improving public finances and strong growth prospects as key factors behind the move. The outlook on the rating is stable.

The upgrade of Indonesia's long-term foreign and local currency ratings tightened spreads on credit default swaps. An investment grade rating was likely in the next few years.

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