The Argentine province of Neuquén's financial management has been consistent in its commitments to repay debt in a timely manner, though it lacks formal, medium and long-term financial policies. Neuquén still faces budgetary constraints; therefore, its fiscal stance will still be weak in 2018. The province's debt burden has increased. We expect it to remain above 60% of operating revenue, with foreign exchange risk mitigated by hydrocarbon royalties, which are linked to currency movements. At the same time, the province's low contingent liabilities and dynamic, though concentrated, economy support its creditworthiness. We're affirming our 'B' long-term global scale foreign and local currency issuer credit ratings on the province of Neuquén. We're also affirming the 'B' issue-level ratings on the province's
