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Wednesday, 18 January 2012

Fitch may downgrade Italy two levels

International rating agency Fitch may lower rating by two notches Italy. This statement was made ​​judge Fitch Alessandro Settepani, who called the downgrade of the country one of the possible options, reports the Italian news agency Agenzia Italia Giornalistica (AGI).

"The downgrade of Italy at two levels - one of the possible scenarios", - said A. Settepani, explaining that the committee will review Fitch's rating, taking into account the amount of debt refinancing and the measures taken by the government to maintain economic growth. According to the agency, any decision with respect to Fitch rating of Italy will consider the agreement a "fiscal pact" made ​​at the summit EU December 9 2011. On January 10 2012, Fitch warned that it sees more likely downgrade of Italy, who is currently on the list for review with the possibility of lowering. "Italy has to pay a risk premium due to the lack of liquidity in the market (for refinancing loans), the country needs room to maneuver. In Currently it is not, which raises serious concerns about the fate of Italy, whose ratings are in the list to review with the possibility of lowering. When the review is completed, it is likely that the rating will be lowered in Italy, "- commented analyst. The agency made ​​it clear that Italy's ratings could be lowered by one or two steps. A key factor in "survival", according to Fitch, will be the country's ability to sustain economic growth. Against the background of "draconian" measures of economy and weak consumer confidence in the risk of "domino effect" stagnant economies is real, says Fitch, noting that the imbalances that lie at the root of the crisis is not resolved and will continue to adversely affect the ratings of the eurozone. Recall, 13 January another international rating agency Standard & Poor's downgraded Italy's sovereign debt rating by two grades. 

Euro zone second-quarter GDP growth slows

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