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Athens Macedonian News Agency: News in English, 15-03-28
CONTENTS
[01] Fitch downgrades Greece's long-term IDRs to 'CCC'
[01] Fitch downgrades Greece's long-term IDRs to 'CCC'
ANA-MPA -- Fitch Ratings downgraded Greece's long-term foreign-
and local currency issuer default ratings (IDRs) to 'CCC' from 'B'
on Friday, and the short-term foreign currency IDRs to 'C' from 'B'.
Fitch ascribed the downgrade to the high lack of market access, uncertain
prospects of timely disbursement from official institutions (EU/IMF),
and tight liquidity conditions in the domestic banking sector, which it
said "have put extreme pressure on Greek government funding."
It forecast that "the government will survive the current liquidity
squeeze without running arrears on debt obligations," but said the
heightened risks led the agency to downgrading the ratings.
The damage to investor, consumer, and depositor confidence has almost
certainly derailed Greece's incipient economic recovery, it added,
saying that the damage will take time to repair even if prospects for
a successful programme completion improve over the coming days or weeks.
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