Great Britain, “risk of recession” and S&P lowers the outlook to “negative” – ​​Corriere.it

The international rating agency S&P has placed Great Britain under negative outlook from stable due to increasing tax risks. And it confirmed the rating at AA / A-1 +. Not only that, but according to experts, the deficit will rise to an average of 5.5% of GDP per year in 2023-2025 (6% this year), while the debt will continue to rise. The GDP caler and in fact the economy enters a technical recession and not even better in 2023 as it will mark -0.5%. S&P said the outlook cut was mostly due to the effect of higher energy prices and weaker global growth. In this context, it is not clear whether the government will introduce the fiscal consolidation measures necessary to reverse the debt trend. Meanwhile, inflation will rise to 9.5% this year before falling to 5.8% in 2023 and to less than 2% in 2024-2025.

Instead, Moody’s has postponed the update on the sovereign rating on Italy. The rating agency, which had set for today the possible review of the creditworthiness, on its website includes Italy among the issuers whose rating has not been updated despite being scheduled for 30 September. The US agency had worsened the prospects on the Baa3 rating assigned to Italy to “negative” from “stable” a few weeks after the fall of the Draghi government. According to market sources, the choice of postponement took place in consideration of the need to observe political developments and the formation of a new executive.

Source link

About Eric Wilson

The variety offered by video games never ceases to amaze him. He loves OutRun's drifting as well as the contemplative walks of Dear Esther. Immersing himself in other worlds is an incomparable feeling for him: he understood it by playing for the first time in Shenmue.

Check Also

A scholarship week can be worth a whole year of waiting

The financial markets are the realm of surprises and if someone dares to have convictions, …

Leave a Reply

Your email address will not be published. Required fields are marked *