The Bahamas, April 11, 2025 – For the first time in nearly 20 years, international credit agency Moody’s has given The Bahamas a positive outlook on its sovereign credit rating, reflecting renewed global confidence in the nation’s economic direction.
Prime Minister Philip Davis hailed the development as a sign that the country’s fiscal strategy is working, crediting efforts to reduce debt, achieve a budget surplus, and implement long-term structural reforms.
“When we took office in 2021, the country was under severe economic strain,” Davis said. “We promised stability and real reform—and today’s upgrade confirms that progress.”
Moody’s cited improvements including falling debt levels, growing GDP, and projections to bring the debt-to-GDP ratio below 70% by 2028. The agency also acknowledged efforts to strengthen revenue systems and control spending.
However, Davis emphasized that the journey is far from over. “This is a step forward, not a finish line. Bahamians are still under pressure, and we must now take on the next big challenge—energy reform,” he stated.
The government plans to launch the largest energy transformation in Bahamian history, including major renewable energy investments, modernization of outdated infrastructure, and steps to lower electricity costs and reduce outages.
“We’re laying the foundation for a cleaner, cheaper, more resilient energy future,” Davis said, underscoring the need for balanced leadership rooted in fiscal discipline, bold reform, and compassion.
“We’ve come a long way,” he concluded. “But we will not stop until progress is felt in every home, on every island, for every Bahamian.”
