S&P raises Petrobras’s credit rating

The risk rating agency S&P has raised Petrobras’s credit rating, the state-owned company said in a statement Wednesday evening (Dec. 20). The oil giant went from BB- to BB.

Petrobras had been rated BB- since April 17, 2020. The agency’s scale ranges from D to AAA (D, C, CC, CCC, B, BB, BBB, A, AA, and AAA), with minus and plus signs for intermediate grades. The closer to AAA, the safer the investment.

From BBB upwards, ratings are considered investment grade, meaning that the investment is safer.

According to Petrobras, the increase in the rating comes as a result of the agency’s better classification of Brazil, which went from BB- to BB on December 19, after almost six years of being graded BB-.