Moody’s Investors Service has changed the outlook on the Mongolian government’s issuer ratings to negative from stable.

The decision reflects rising external vulnerability risks related to a sharp fall in export revenue at a time when access to external financing is highly uncertain, threatening already weak foreign-exchange reserve adequacy, Moody’s said in a statement.

Moreover, the government’s borrowing requirements will increase markedly, in part to fund a large stimulus package, which raises liquidity risks, the credit rating agency said.

The rapid spread of COVID-19, deteriorating global economic outlook, and falling asset prices are creating a severe and extensive credit shock across many sectors, regions and markets, according to the agency.