Mexico's track record of cautious fiscal and monetary policy should sustain macroeconomic stability and contribute to economic resiliency. Furthermore, the prospects for the passage of policies that further strengthen the country's fiscal room for maneuver and medium-term growth have improved under the Peña Nieto administration. We are revising our outlook on the long-term sovereign credit ratings on Mexico to positive from stable. We are also affirming the 'BBB/A-2' foreign currency and 'A-/A-2' local currency sovereign credit ratings on Mexico. The outlook reflects the greater than one-in-three chance that the government could gain approval of a series of policies that meaningfully improve Mexico's fiscal room for maneuver and inject more dynamism into the economy. (Watch the related CreditMatters TV segment titled,
