OREANDA-NEWS. Standard & Poor's Ratings Services affirmed its foreign currency issuer credit rating on Leningrad Oblast at 'B+' and national scale rating at 'ruA+' based on expectations of an improvement in the oblast's budgetary performance. The outlook is positive.

"The ratings on the oblast, located in the northwest of The Russian Federation, are constrained by: the Leningrad Oblast's low revenue and expenditure flexibility and financial risk linked to growing debt guarantees," said Standard & Poor's credit analyst Pavel Kochanov. "Moreover, evolving inter-governmental relations and the need to upgrade and build new transport and housing infrastructure are also rating constraints."

The ratings are supported, however, by the oblast's improving economy and its consistent fiscal policies, resulting in a moderate debt burden.