Ras Al Khaimah’s sovereign credit rating has been affirmed at A/A-1 by S&P Global Ratings, with the international agency maintaining a stable outlook for the emirate amid expectations of continued fiscal discipline and revenue growth.
The rating affirmation reinforces investor confidence in the northern emirate’s economic and financial position at a time when Gulf governments continue to focus on diversification and long-term fiscal sustainability.
According to S&P Global, the stable outlook reflects its expectation that the Ras Al Khaimah government will maintain prudent fiscal and economic policies while preserving its substantial net asset position. The agency also forecasts that the emirate’s fiscal position will continue to benefit from strong revenue performance in the coming years.
The rating agency cited Ras Al Khaimah’s financial strength and liquidity, noting that the government’s net asset position provides a buffer against potential fiscal pressures. It also projected that the emirate’s fiscal position will be supported by a strong liquid asset base and continued revenue growth, with momentum expected to increase further during the 2028-2029 period.
A spokesperson for the Ras Al Khaimah government said the latest assessment reflected the emirate’s ability to sustain growth while navigating economic challenges. “These accomplishments have inspired growing confidence in the Emirate and its economy, which we now see reflected in S&P’s decision to once again affirm Ras Al Khaimah’s rating and stable outlook, while also anticipating positive fiscal performance over the coming three years,” the spokesperson said.
S&P’s report also highlighted progress in the government’s long-term efforts to strengthen economic institutions. Among the developments cited was the establishment of the RAK Statistics Center (RAKSC), part of broader initiatives aimed at enhancing governance, transparency and policymaking capabilities.
The report noted that the wider UAE’s economic and financial flexibility provides an additional layer of resilience against regional geopolitical and economic developments.
Ras Al Khaimah has emerged as one of the UAE’s fastest-growing economies in recent years, supported by sectors including manufacturing, tourism, real estate, trade and services. Officials say the emirate’s diversified economic base and its ability to attract both multinational companies and small businesses continue to underpin growth prospects and strengthen its appeal to investors.
The latest rating affirmation places Ras Al Khaimah among the higher-rated sub-sovereign entities in the region and signals continued confidence in its fiscal management and long-term economic outlook.
Source: Khaleej Times