Uruguay is a country in our top 20 retirement havens. It’s a country that stays clear of the turmoil going on in the world around it. The economy is stable and it has a sound banking system.
Even the real estate market is booming right now. Uruguay is an ideal retirement haven, having just about everything a would-be expat could want. It’s a country calmly treading above water in a world where other countries are floundering, and soon it may even reach investment grade again.
Uruguay has neighboring Argentina to blame for its loss of investment grade rating back in 1997, when Argentina defaulted on US$95 billion of debt. Since then it has been striving to rebuild its reputation. Currently with a Moody’s Investor Service rating of Ba1 on the country’s sovereign foreign currency credit, which is only one level below investment grade, Uruguay is well on its way.
It may be later this year when the next review is held, but if Uruguay can finally get back to “investment grade,” it would join Brazil, Panama, Colombia, and Peru as countries that recently received this important investment level ranking.
Crucial steps in changing the country’s current status include the reduction of Uruguay’s foreign currency debts and the extension of maturities, which the country’s Ministry of Economy has been working hard to establish.