Dagong puts Qatar's credit rating at AA-

Dagong Global Credit Rating Co., Ltd., China's domestic rating agency, on Wednesday put the local and foreign currency sovereign credit rating of Qatar at AA-.

The rating reflects Qatar's relatively good solvency capability, including its consistent policies, abundant petroleum and natural gas reserves and the country's relatively strong fiscal and foreign exchange strength, the rating agency said.

But Dagong also warned that rising geopolitical risks and the country's aggressive investment plans will put pressure on its economy.

Qatar's economy expanded by 16.3 percent and 18.7 percent, respectively, during the past two years, because of its heavy investment in natural gas projects and soaring global energy prices.

Dagong said 2022 FIFA World Cup, which is going to be hosted in Qatar, will provide fresh impetus for the country's economic growth, and predicted that the growth rate will average 8 percent in the mid-to long-term.

"Therefore, Dagong assigns a stable outlook on the local and foreign currency sovereign credit rating of Qatar in the next one to two years," Dagong said.