Moody’s Investors Service upgraded the 20-year $450 million Senior Unsecured Bonds issued by the Panama Canal Authority (ACP) to A1 from A2, with a stable outlook, based on the waterway's strong performance since the expansion's inauguration.
Moody's noted that the Expanded Canal has increased overall tonnage and attracted new market segments, contributing to the waterway's strong performance. According to Moody's, "stronger cash flow generation coupled with a relatively low leverage has resulted in very solid financial metrics."
"This upgrade in the long-term rating is the result of the Panama Canal's financial strength, its proven track record of institutional independence and successful governance that continue to be key to the waterway's success," said Panama Canal Vice President for Finance Francisco J. Miguez.