Islamic State claims responsibility for attack on Russian Guard base in ChechnyaWorld March 24, 18:51
Eurovision organizers set to find solution for Russia's contestant to perfom in KievWorld March 24, 18:46
Russia’s Airborne Force wraps up large-scale drills in CrimeaMilitary & Defense March 24, 18:20
Russia may start Ka-52 attack helicopter deliveries to Egypt in 2nd half of yearMilitary & Defense March 24, 17:21
Ex-Russian MP’s suspected assassin’s ‘double’ pops up in UkraineWorld March 24, 16:59
Photos of the week: Putin at the theater, Trump behind the wheel and Erdogan playing ballSociety & Culture March 24, 16:39
Bank of Russia points to ruble cutting its 'oil dependency'Business & Economy March 24, 16:33
Legendary Soviet test pilot Mikoyan passes away at 94Military & Defense March 24, 16:22
Russian Aerospace Force received 16 Su-34 fighter bombers in 2016Military & Defense March 24, 16:06
MOSCOW, January 17. /TASS/. Moody's Investors Service has downgraded Russia's government bond rating to Baa3/Prime 3 (P-3) from Baa2/Prime 2 (P-2), Moody’s said. The rating was also placed on review for further downgrade.
The ratings agency said the key drivers behind the downgrade are: “Moody's expectation that the substantial oil price and exchange rate shock will further undermine the country's already subdued growth prospects over the medium term; Moody's nearer-term concerns over the negative impact on the government's financial strength of the erosion in official foreign exchange buffers and fiscal revenues.”
It also said that “in the review for further downgrade, Moody's will assess the resiliency of the government's balance sheet, in particular its foreign currency reserves cushion, to both the rating agency's baseline forecast for oil prices and to the risk of a further decline in oil prices at a time when international market access is restricted for Russian borrowers due to sanctions.”
“The review will also focus on the efficacy of policy actions that the Russian central bank and fiscal policymakers may take to address the oil and exchange rate shock in an effort to preserve economic and government financial strength,” Moody’s said.
Moody's said it also “lowered Russia's country ceilings for foreign currency debt to Baa3/Prime 3 (P-3) from Baa2/Prime 2 (P-2) to align it with the sovereign rating, and reduced the long-term country ceilings for local currency debt and deposits to Baa2 from Baa1, while leaving unchanged the country ceiling for foreign currency bank deposits at Ba1/Non Prime (NP).”.