Finance Moody's downgrades Israel's credit rating again
The US rating agency Moody's has once again downgraded Israel's credit rating due to the war in the Gaza Strip and the conflict with the Hezbollah militia in Lebanon. There is no strategy for an exit from the war.
28.09.2024, 10:06
SDA
In February, Moody's had already downgraded Israel's credit rating from A1 to A2. The rating agencies Fitch and S&P had also downgraded Israel's credit rating due to the war in the Gaza Strip and the possible escalation in other theaters.
The escalation of the conflict with the Hezbollah militia in Lebanon was one of the reasons for the renewed downgrade, Moody's explained. There is a threat of "further serious escalation", while the prospects of a ceasefire in the Gaza Strip have deteriorated.
There is "no prospect of an exit strategy from the military conflict that would restore a degree of certainty and security on which the economy and business investment ultimately depend", it added. The geopolitical risk has medium and long-term implications for the country's creditworthiness.
