Treasury Minister Dr Alex Allinson MHK has acknowledged the annual annual review on the Isle of Man Government’s financial standing from the international credit ratings agency Moody’s.
The review provides updated analysis of the Island’s economic and fiscal position and sees its outlook changed to negative from stable whilst the credit rating remains at Aa3.
This announcement mirrors that of the UK’s recent downgrade, with the review highlighting the ‘close and material institutional, economic and financial links between the two neighbouring jurisdictions.’
The uncertainty in the UK’s financial economy, policy uncertainty and weak growth prospects led to the downward move.
Moody’s notes the Island’s very high levels of wealth, long track record of robust economic growth and ‘very strong’ public finances. The island’s diverse economy, through development of ICT and e-gaming sectors, was also praised in the report.
Minister Allinson commented:
‘I welcome the latest review from Moody’s which provides a thorough assessment and reflects the challenging time ahead as the UK looks to stabilise its economy.
‘Despite the downward move due to our close financial linkages with the UK, the analysis has highlighted many positives for the Island’s financial standing including our significant economic strength, strong public finances and strict regulatory frameworks.
‘I believe the resilience and diversity of the Manx economy will stand us in good stead for the future.’
