NY -- Standard&Poor's CreditWire 10/29/98 -- Standard&Poor's today affirmed the Republic of Hungary's triple-'B'- minus long-term foreign currency and single-'A'-minus long-term local currency sovereign credit ratings. Standard&Poor's also affirmed its 'A-1' short-term local currency and 'A-3' short-term foreign currency ratings on the republic. The outlook on the long-term ratings is positive. The positive outlook reflects the view that despite sharply deteriorated global financial conditions, Hungary's continued progress in implementing structural reforms, reducing its public external debt burden, and maintaining its strong liquidity position underpins an expected upgrade, possibly as early as next year. The country's modernized industrial and financial sectors are now among the most advanced and competitive of the transition economies. Hungary also
