S&P Cuts Ecopetrol Rating to BB- From BB, Affirms bb+ SACP
S&P cut Ecopetrol’s global credit rating to BB- from BB and affirmed its stand-alone credit profile at bb+, reflecting a stable outlook. The downgrade mirrors Colombia’s sovereign rating cut and factors in Ecopetrol’s 88.49% government ownership and COP11.7 trillion dividend contribution in 2025.
1. S&P Rating Revision
On April 8, 2026, S&P Global Ratings lowered Ecopetrol’s long-term foreign currency credit rating to BB- from BB and affirmed its stand-alone credit profile at bb+ with a stable outlook reflecting alignment with the sovereign.
2. Sovereign Cap and Ownership
The global rating remains capped by Colombia’s sovereign rating due to Ecopetrol’s 88.49% government ownership stake and its strategic role in national energy, which links its outlook directly to government creditworthiness.
3. Dividend Impact and Outlook
Ecopetrol contributed COP11.7 trillion in dividends to the government in 2025, resulting in a free cash flow to debt ratio of -5.0%, underscoring potential constraints on financial flexibility and the stable outlook tied to future fiscal actions.