Global credit rating agency Standard & Poor's(S&P) has maintained South Korea’s long-term sovereign credit rating at AA with a stable outlook despite the COVID-19 pandemic. 

S&P on Wednesday also kept the short-term sovereign rating for the country at "A-1+.”

In a report, the ratings agency said although Asia’s fourth-largest economy contracted last year for the first time since 1998, it quickly rebounded and is enjoying a more robust growth than most other high-income countries. 

Noting there is a low possibility Korea’s solid growth trend will be significantly damaged by COVID-19, it also expected the country’s fiscal deficit will switch to a surplus by 2023 after widening this year due to stimulus measures. 

The geopolitical risk on the Korean Peninsula is also unlikely to spike to the point of damaging South Korea’s economic foundation, the agency said.