S&P Global set to raise Ecuador sovereign ratings after debt revamp

LONDON, Aug 7 (Reuters) - S&P Global Ratings said it will raise its sovereign credit ratings on Ecuador when the government issues new bonds this month under a debt restructuring.

S&P, which lowered its ratings on Ecuador to selective default in April, said the rating after emerging from default will reflect financial relief gained from the debt overhaul, as well as the limited prospects for litigation from any holdout creditors and the possibility of a new International Monetary Fund programme.

The country announced on Monday investor support for a $17.4 billion foreign debt revamp. (Reporting by Tom Arnold; editing by John Stonestreet)