Entire euro zone could be downgraded

5th December 2011, Comments 0 comments

The credit ratings agency Standard and Poor's has warned six euro zone countries, including the Netherlands, that they could lose their AAA-rating within the coming three months.

The Financial Times reports that S&P will put Germany, France, the Netherlands, Finland, Austria and Luxembourg on "credit watch negative", a designation that means there is a 50% chance of being downgraded. The AAA-rating is the highest credit rating issued by S&P.

Other media are now reporting that all 17 euro zone members will be placed on "credit watch negative" by Standard and Poor's. Financial experts say the ratings agency will cite the euro zone’s failure to deal with its debt crisis as the reason for the downgrade.

S&P is expected to release a statement after the markets close in New York.


© Radio Netherlands Worldwide

0 Comments To This Article