S&P lowered the ratings of Kazakhstan to the level “BBB-/A-3” with the “negative” outlook

Almaty. February 18. Silkroadnews - Standard&Poor’s (S&P) has lowered its long-term and short-term foreign and national currencies ratings of Kazakhstan to “BBB-/A-3” from “BBB/A-2” with the “negative” outlook, the rating agency informs, according to KazTAG.
“Standard&Poor’s Ratings Services agency has lowered its long-term sovereign credit ratings in foreign and national currency of the Republic of Kazakhstan to “BBB-” from “BBB”. At the same time, we have lowered the short-term ratings in foreign and local currency to “A-3” from “A-2” and the Kazakhstani national scale rating to “kzAA” from “kzAA+”. The long-run rating outlook is “negative”, - S&P data show.
As noted, in the middle of January 2016 Standard&Poor’s lowered its outlook on the oil price for 2016-2019. The oil prices have become about 70% lower versus the forecast of mid-2014.
“When we last reviewed Kazakhstan in September 2015 we considered the Brent crude oil prices at the average level of $65 per barrel in 2016 and $75 per barrel in 2017 and in subsequent years. We assume now the average price of Brent crude oil to be $40 per barrel in 2016 and $45 per barrel in 2016-2019, respectively. Thus, we have revised our outlook for the economic growth, financial and external position of Kazakhstan,” – the text explains.  
Along with that the rating agency analysts do not expect the agreement on freezing the oil extraction at the level of January, dated as of February 16, 2016, between the ministers of Qatar, Russia, Saudi Arabia and Venezuela to have a significant impact on the oil price forecast.
“We have noticed the first market response to this news was a further decline in oil prices. Note that the freeze will be held at a record high level of oil extraction in Russia and Saudi Arabia. The agreement is conditional for other brands,”- S&P experts say.