Fitch downgrades Russia to 'B'; on rating watch negativesays has downgraded Russia's long-term foreign currency issuer default rating (idr) to 'B' fro
Fitch downgrades Russia to ‘B’; on rating watch negative
- says has downgraded
Russia’s long-term foreign currency issuer default rating (idr) to
‘B’ from ‘BBB’ - says severity of
international sanctions in response to Russia’s military invasion of
Ukraine has heightened macro-financial stability risks - developments will
weaken Russia’s external and public finances, severely constrain its
financing flexibility - sanctions
prohibiting transactions with CBR will have a much larger impact on
Russia’s credit fundamentals than any previous sanctions - sanctions could also
weigh on Russia’s willingness to repay debt - full implementation
could render much of Russia’s international reserves unusable for fx
intervention - expects further
ratcheting up of sanctions on Russian banks - says assume US
sanctions prohibiting transactions with the ministry of finance will not
impede servicing of Russia’s sovereign debt but this is unclear
—
CBR is the Central Bank of Russia
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