Japan’s sovereign debt rating cut
Moodya��s has lowered the government debt rating of Japan to Aa3 with a stable outlook, from Aa2.
The credit rating agency has also taken action on the ratings of most Japanese banks, including Bank of Tokyo-Mitsubishi and Sumitomo Mitsui Banking Corporation, with the average downgrade one notch.
According to Moody’s, the sovereign downgrade has been prompted by the country’s large budget deficit and the build-up in Japanese government debt since the 2009 global recession.
The firm also acknowledges that Japan’s catastrophic earthquake earlier this year has undermined recovery.
Comments (0)
Trackback URL | Comments RSS Feed
There are no comments yet. Why not be the first to speak your mind.