Rating agency downgrades Belgium, France, Germany

9th April 2009, Comments 0 comments

The French credit rating agency Coface on Wednesday said it had downgraded the ratings or the ratings' outlook on 47 countries.

PARIS - The agency has downgraded the countries, including Belgium, Britain, France and Germany in light of the global crisis.

It said it downgraded Belgium's rating from A1 to A2, along with those of France, Germany and Norway.

Britain was downgraded to A3 from A2, along with Spain, Greece, Ireland and Portugal.

The agency said it affirmed its ratings on China, India, Brazil, the Middle East and North Africa.

India's A3 rating, unchanged since 2004, reflects the fact that its economy continues to be bouyed by domestic demand while feedback from the global economic crisis via international trade has been limited.

Brazil, rated A4 since December 2006, benefited from its diversified economy while corporate debt remained modest, it said.

China's A3 rating was left on negative outlook, where it was placed in January, with weaknesses in the economy offset by the government's massive stimulus package, Coface said.

Russia was downgraded to C from B because of the serious challenges facing the country, with companies very heavily in debt and the economy likely to contract three percent this year.


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