OREANDA-NEWS. Fitch Ratings has today assigned the Russian Penza region Long-term foreign and local currency "BB" ratings and a Short-term foreign currency "B" rating.

A National Long-term "AA-(AA minus)(rus)" rating is also assigned. All the rating Outlooks are Stable.

The ratings reflect the relatively small size of Penza's economy, its significant dependence on the agricultural sector, high expenditure rigidity stemming from the large share of transfers in the regional budget and the short-term profile of its outstanding debt.

On the other hand, the ratings factor in the region's significant growth in tax revenue, high operating and current margins, decreasing debt burden as well as high quality of budgetary management.