Monday, November 10, 2008

Fitch Downgrades Credit Ratings of 10 Countries


Fitch downgraded the credit ratings of 10 countries today, including Russia, Mexico, South Korea, South Africa, Chile, Malayasia, Hungary, Romania, Bulgaria and Kazakhstan. As stated in a press release:

" The Long-term foreign currency Issuer Default Ratings (IDR) of Bulgaria and Kazakhstan are downgraded to 'BBB-' (BBB minus) from 'BBB', with Stable and Negative Outlooks respectively. Hungary's Long-term foreign currency IDR is downgraded to 'BBB' from 'BBB+' and the Outlook revised to Stable from Negative given the IMF-led rescue package. Romania's Long-term foreign currency IDR is downgraded to 'BB+' from 'BBB' with Negative Outlook, as the risk of a severe economic and financial crisis increases.

The rating Outlooks on four - Korea ('A+'), Mexico ('BBB+'), Russia ('BBB+') and South Africa ('BBB+') - are revised to Negative from Stable; while the rating Outlooks on Chile ('A') and Malaysia ('A-' (A minus)) have also been revised to Stable from Positive."
According to the International Monetary Fund, Russia is the world's 11th biggest economy; Mexico is number 13; and South Korea is 14.

So some major economies took a hit today.

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