For the second time in two months, an international credit rating agency has raised its assessment of Israel’s economy, as Standard and Poor’s raised Israel’s credit rating to -AA, Ynet reported Saturday.

In July, Moody’s raised Israel’s outlook of Israel’s economy from “stable” to “positive.” This means that in the next year to year and a half, the agency could raise Israel’s rating from A1 to Aa-. The reasons given for upgrade were the fiscal discipline exercised by  Israel’s government, as well as its recent strong economic growth.

Similarly, Ynet described the S&P giving Israel its favorable rating as a “very significant achievement for the Israeli economy,” as the rating “indicates confidence in the ability of the economy to grow and the government’s ability to maintain a responsible fiscal policy.”

There are only 17 nation’s that S&P has given an AA rating to. Israel is among six with the -AA rating. Others at that level include Qatar and the Czech Republic. Seven others — including Belgium, Britain and Kuwait — have an AA rating. The United States and Finland are among four nations with the highest AA+ rating.

Switzerland, Australia and Norway have AAA ratings.

Credit ratings agencies grade countries on the ratio between government debt and gross domestic spending. That ratio has been declining for Israel in recent years as a result of rising tax receipts, stability of government institutions, and both monetary and fiscal policies.

S&P predicts that Israel’s economy will grow at a rate of 3.3% from 2018 to 2021, driven by “private consumption, continued investment by corporations, and strong performance in the field of services exports,” according to Ynet.

[Photo: Grauesel / WikiCommons ]