JAPAN Credit Rating Agency Ltd. (JCR) has kept the Philippines' credit rating at an investment-grade "A-" with a stable outlook, noting the country's sustained economic growth, low external debt and continued resilience to shocks.

An investment-grade rating indicates lower credit risk, allowing the country to access funding at a lower cost. It also enables the government to channel funds that would have otherwise been allotted for interest payments to socially beneficial programs and projects.

JCR acknowledged fiscal consolidation efforts by the administration but also said that efforts should be made to reduce income disparities via rural development and infrastructure enhancement efforts.

The debt watcher said the country was likely to post 6.0-percent economic growth this year, picking up from 5.6 percent in 2023, due to a revival of external and tourism demand and robust private consumption.

The forecast growth, however, falls below the government's 6.5- to 7.5.-percent target.

Bangko Sentral ng Pilipinas Governor Eli Remolona Jr. welcomed JCR's move.

"Our external payments position will continue to remain manageable, supported by sustained foreign exchange inflows from overseas Filipino remittances, business process outsourcing revenues, foreign direct investments and tourism receipts," he said in a statement.

"In addition, the country maintained ample foreign exchange reserves," he added.

The country's gross international reserves stood at $103.3 billion as of January, enough for 7.7 months' worth of imports, services and primary income payments.

"These indicate the robustness of the country's foreign currency liquidity position," JCR noted.

"JCR holds that the country will show its high resilience even when global risk-off moves are triggered again," it added.