Taking a look at credit ratings in the developing world look, we see a set to grind lower again in 2019, as the world economy slows, having Latin America likely to be the center of the action.
Although, asides from this, the year was already off to a hard start as S&P Global warning last week that nearly a third of big bond issuers in emerging markets will now have an unsustainable amount of debt.
Rating matter for sovereign borrowers about the more highly rated on their hand will lower their funding costs tend to be.
Expecting more downgrades as well for Fitch Ratings on this year, with Moody’s Investors Service closing to twice as many countries on downgrade warnings, at 10, than the 11 it sees as candidates for an upgrade.
Much of the unsustainable debt piles from lists come down to a mix of over-borrowing trade tensions and a reliance by some countries on selling oil or other commodities whose prices have been volatile, with more notable idiosyncrasies which will now be worth looking forward to.
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