{"id":45702,"date":"2012-12-21T11:42:48","date_gmt":"2012-12-21T11:42:48","guid":{"rendered":"https:\/\/armbanks.am\/2012\/12\/21\/237242\/"},"modified":"2024-12-15T13:01:42","modified_gmt":"2024-12-15T13:01:42","slug":"sp-cuts-cyprus-rating-adr-com-reports","status":"publish","type":"post","link":"https:\/\/armbanks.am\/en\/2012\/12\/21\/45702\/","title":{"rendered":"S&P cuts Cyprus rating, adr.com reports"},"content":{"rendered":"

YEREVAN, December 21. \/ARKA\/. <\/strong>Standard & Poor’s Ratings Services has cut Cyprus’s rating two notches into highly speculative territory, citing escalating financial pressure and uncertainty as bailout negotiations remain unresolved ahead of a presidential election.<\/p>\n

S&P now rates Cyprus’s long-term sovereign credit rating at triple-C-plus, seven steps into junk territory. The outlook is negative.<\/p>\n

The firm said the risk of a sovereign default is “considerable and rising” amid continuing negotiations between Cyprus and its euro-zone partners and the International Monetary Fund on a bailout package. Cyprus applied for a bailout in June 2012, and the S&P noted intensifying pressures ahead of the presidential elections scheduled for Feb. 2013.<\/p>\n

The government’s short-term financing is “increasingly vulnerable,” the firm said.<\/p>\n

S&P noted that a 2013 budget recently submitted to Parliament includes “far-reaching spending cuts totaling nearly 6% of GDP” and said the budget’s “underlying revenue assumptions may be too optimistic” given risks of further deterioration in gross domestic product.<\/p>\n

The ratings agency also said the question of financial support for the Cypriot banking system remains unanswered.<\/p>\n

The negative outlook reflects the view that escalating external and fiscal financing pressures could result in a downgrade, for instance if official assistance isn’t forthcoming or if the government isn’t able to meet the conditions of a bailout.<\/p>\n

The ratings could stabilize if growth prospects, government debt and external funding needs stabilize. \u20130–<\/p>\n","protected":false},"excerpt":{"rendered":"

Standard & Poor’s Ratings Services has cut Cyprus’s rating two notches into highly speculative territory, citing escalating financial pressure and uncertainty as bailout negotiations remain unresolved ahead of a presidential election<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","tstyn_error":""},"categories":[12139,9216],"tags":[13191,12419,15698],"class_list":{"0":"post-45702","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-economy-en","7":"category-news","8":"tag-cyprus","9":"tag-report","10":"tag-sp-3"},"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/45702","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/comments?post=45702"}],"version-history":[{"count":0,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/45702\/revisions"}],"wp:attachment":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media?parent=45702"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/categories?post=45702"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/tags?post=45702"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}