Fitch Ratings has assigned the Armenian City of Yerevan Long-Term Foreign- and Local-Currency Issuer Default Ratings (IDRs) of 'B+' with Stable Outlook, the agency said Thursday, March 4.

The ratings reflect Yerevan's Standalone Credit Profile (SCP) of 'bb-', resulting from a combination of a 'Vulnerable' risk profile and a 'aaa' debt sustainability assessment. The IDRs are capped by the Armenian sovereign ratings of 'B+'/Stable.

Yerevan is Armenia's largest economic and metropolitan area. As of 2020, the city's population was 1.1 million. The economy is dominated by the service sector and its wealth metrics are modest compared with international peers. The city's accounts are cash-based, and the budget framework covers a single year.