Arab Today, arab today moody\s downgrades spanish banks regions
Last Updated : GMT 12:27:49
Arab Today, arab today
Arab Today, arab today

Moody\'s downgrades Spanish banks, regions

Arab Today, arab today

Arab Today, arab today Moody\'s downgrades Spanish banks, regions

Washington - AFP

Moody\'s cut its debt ratings of five Spanish banks and most of the country\'s regions Wednesday, one day after delivering Madrid a sovereign downgrade, warning it still lacked a \"credible\" resolution to its economic crisis. Banco Santander, BBVA, CaixaBank, La Caixa and Confederación Espanola de Cajas de Ahorros (CECA) all had their debt ratings cut by one level, appended with negative outlooks, suggesting possible future downgrade. Moody\'s also cut the ratings of nine regions, two Basque provinces and five other government-related entities by one or two steps each, and labeled them with a negative outlook. One region, Castile-La Mancha, was hit with a five-notch ratings cut to Baa2. \"Today\'s rating action has been prompted by the downgrade of the Kingdom of Spain to A1 from Aa2,\" Moody\'s said in its statement on the banks downgrade. \"With the government rating now at A1, Moody\'s believes that the benefit of potential support from the government is less pronounced relative to the standalone strength of these banks,\" Moody\'s said. Moody\'s said that \"the high likelihood that support would be forthcoming\" nevertheless kept them from further cutting the banks\' ratings. As for the downgrade of the regions, Moody\'s said that their large financing needs and tighter access to long-term funding \"have forced regions to deplete their cash reserves, extensively use short-term credit lines, and expand their commercial debt obligations.\" It also cited persistent budget shortfalls \"due to the regions\' difficulty in reining in their cost bases significantly.\" Castile-La Mancha\'s sharper downgrade came based on recent disclosures that made the large central region\'s finances \"incompatible with an investment-grade rating.\" Moody\'s cited \"the emergence of unexpectedly large deficits and commercial liabilities following a recent audit of its accounts.\" Earlier Wednesday Spain\'s Treasury challenged the sovereign downgrade, saying in a letter to investors the downgrade \"may be motivated more by a short-term reaction to negative news about the eurozone debt markets\" than by long-term fundamentals. \"The nation\'s significant deleveraging has significantly reduced its external financing needs,\" the Treasury said. \"The Spanish government remains committed to fiscal consolidation and structural reform.\"

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today moody\s downgrades spanish banks regions Arab Today, arab today moody\s downgrades spanish banks regions

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today moody\s downgrades spanish banks regions Arab Today, arab today moody\s downgrades spanish banks regions

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Mai Al-Jeddawi presents décor ideas for Ramadan
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today

GMT 09:49 2017 Tuesday ,02 May

Girl barred from Malaysia chess competition

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse

GMT 16:25 2017 Sunday ,04 June

“Suhoor” is basic meal for fasting

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 11:09 2017 Sunday ,25 June

HUAWEI P10 the ‘guru’ of portrait shots
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday