WASHINGTON -- Moody’s said in a statement it has upgraded Russia's Ba1 long-term issuer and senior unsecured debt ratings to positive from stable, citing growing evidence of institutional strength.

"Moody's Investors Service ("Moody's") has today changed the outlook on Russia's Ba1 long-term issuer and senior unsecured debt ratings to positive from stable. Concurrently, Moody's affirmed Russia's long-term ratings at Ba1 and its short term rating at Not Prime (NP)," the statement said on Thursday.

Previous year, Fitch rating agency also upgraded Russia's long-term foreign and local currency issuer default ratings from stable to positive, citing progress in strengthening the country's policy framework.

The rating agency also said that Russia's recently approved budget rule reflects the country's commitment to fiscal prudence. Fitch said that inflation is expected to average at 4.5 percent in 2018-2019, an unprecedented low for Russia.

The chief executive of Russia’s sovereign wealth fund commented in Moody's raised rating saying that the decision to revise the outlook to positive from stable was a testimony to Russian economic growth and investment boost.

"Moody’s positive outlook reflects Russia’s return to growth, macroeconomic stability and the increased interest of investors to Russian assets," Russian Direct Investment Fund (RDIF) CEO Kirill Dmitriev told reporters at the World Economic Forum.

Sputnik