BUDAPESTâCredit rating agency Moody's Investors Service Inc. downgraded Hungary by two notches on Monday citing fiscal-sustainability concerns, holding the country in investment-grade territory but maintaining its negative rating outlook.
"We expect that the headline budget deficit figures will be met thanks to temporary measures but in a situation like this, we need to look beyond the headline figures," said Dietmar Hornung, vice-president of Moody's Investors Service. "We expect a significant deterioration in the structural deficit."
Moody's downgraded Hungary's foreign- and local-currency government bond ratings by two notches to Baa3 from Baa1, citing increased concerns about the country's medium- to long-term fiscal sustainability and higher "external vulnerabilities" than most of Hungary's rated peers.
http://online.wsj.com/article/SB100...667874.html?mod=WSJEUROPE_hpp_LEFTTopWhatNews
"We expect that the headline budget deficit figures will be met thanks to temporary measures but in a situation like this, we need to look beyond the headline figures," said Dietmar Hornung, vice-president of Moody's Investors Service. "We expect a significant deterioration in the structural deficit."
Moody's downgraded Hungary's foreign- and local-currency government bond ratings by two notches to Baa3 from Baa1, citing increased concerns about the country's medium- to long-term fiscal sustainability and higher "external vulnerabilities" than most of Hungary's rated peers.
http://online.wsj.com/article/SB100...667874.html?mod=WSJEUROPE_hpp_LEFTTopWhatNews