Send to Kindle
Protesters stand in front of the Greek parliament in Athens, Greece. For more than one week, tens of thousands of Greeks have held peaceful anti-austerity protests in Athens and other cities, in a new Internet-sparked movement. Photo by BGNES
Greece's credit rating has been cut again by rating agency Moody's just five notches short of default.
Moody's now rates the Mediterranean nation at Caa1, down from B1. Its outlook is still negative, which implies that further downgrades may follow.
The agency said it now puts Greece's risk of default at around 50%.
"The first trigger for today's downgrade is Moody's view that Greece is increasingly likely to fail to stabilise its debt ratios within the timeframe set by previously announced fiscal consolidation plans," the agency said in a statement.
The ratings agency said it appears increasingly likely that the International Monetary Fund, European Central Bank and EU Commission, which together have bolstered the country so far, will require private creditors to participate in a debt restructuring as a precondition for funding support.
Moody's cited the Greek government's failure to meet several fiscal-consolidation targets last year as signs that the country is unlikely to achieve its 2011 budget goals.
Restructuring of Greece's debt is still avoidable simply because a default in the near term would be very destabilizing for the entire euro zone, Moody's said.
The news of the downgrade comes just as Greece and its international sponsors finalise a deal on the execution of delayed bailout reforms, clearing the way for the release of a EUR 12 B loan to Athens.
We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!
A nationwide strike in Greece has brought the country's transport networks to a standstill, affecting railways, ferries, buses, taxis, and more
In a bold move to amplify their demands for higher wages and better working conditions, journalists across Greece have embarked on a 24-hour strike, effectively halting news broadcasts for the duration
In a demonstration of solidarity and protest against the government's economic policies, media workers across Greece have initiated a 24-hour strike, aligning themselves with the call for protests issued by labor unions
In a bid to uphold the principle of free access to beaches, Greek authorities have implemented strict regulations, warning of hefty fines for violators.
With the aim to bolster renewable energy infrastructure, the European Commission has greenlit funding of 1 billion euros for two key projects in Greece
As Easter approaches, Greeks are facing the highest lamb prices in recent years, prompting many to seek alternatives across the border in Bulgaria
The European Parliament has approved the EU's inaugural directive aimed at regulating the employment rights of individuals working through online platforms
In recent years, Moldova has been faced with the challenge of reducing its dependency on Russian gas imports.
As the Hungarian forint experiences volatility, German investors are increasingly advocating for Hungary to adopt the euro, reaching the highest level of support in over a decade
In a statement underscoring growing concerns over national security, FBI Director Christopher Wray has declared that the popular social media app TikTok poses a significant risk to the United States
Eurostat data indicates that Greece (161.9%), Italy (137.3%), France (110.6%), Spain (107.7%), and Belgium reported the highest public debt-to-GDP ratios among EU member states by the conclusion of 2023
A damning report from the US State Department has unveiled a troubling reality of systematic racial and ethnic violence and discrimination against Bulgarians in the Republic of North Macedonia
UN Happiness Report: Bulgaria's Astonishing Leap in Rankings
Bulgaria: 3 Regions With Lowest Life Expectancy - EU Report 2022
