Moody’s downgrades Ecopetrol’s global credit rating to Ba2

Ecopetrol (EC) announced that the credit rating agency Moody’s Ratings downgraded the company’s global credit rating from Ba1 to Ba2 and revised the outlook from stable to negative. In contrast, the agency affirmed Ecopetrol’s Baseline Credit Assessment, or stand-alone credit profile, at b1. According to Moody’s, the downgrade to Ba2 with a negative outlook is mainly driven by a less favorable view on the support from the Government of Colombia, stemming from an increased perception of potential government interference and reduced clarity regarding the timeliness and predictability of support mechanisms, particularly those related to the Fuel Price Stabilization Fund.