The $50 million Bermuda Government Bond has been given a AA- rating by ratings agency Fitch, it was announced yesterday.

Fitch said the rating was “in line with Bermuda’s long-term local currency issuer default rating (IDR) of AA- with a negative outlook”.

The statement from Fitch said the bond issue, which will mature in 2023, will have a coupon rate of 4.75 percent and that proceeds from the sale will be deposited in the Bermuda Sinking Fund, which is used to help repay Government borrowing.

The Fitch analysis added: “The rating would be sensitive to any changes in Bermuda’s long-term local currency IDR.”

Fitch downgraded Bermuda’s long-term local currency IDR in June from AA+ (stable) to AA- (negative).